Supporters of Bitcoin Cash will not be too pleased with the way things are going right now. The Bitcoin Cash price took a big hit yesterday and it looks like things are only worsening over time. At the time of writing, one BHC was worth US$285, which is well down from the all-time high of US$756. More exchanges enabled deposits, allowing Bitcoin users to dump their “free coins” accordingly.
Bitcoin Cash Price Keeps Taking Hits
Truth be told, no one should be surprised to see the Bitcoin Cash price drop so low right now. This move was coming for some time now, especially when considering how the majority of Bitcoin holders didn’t have a chance to sell off their coins just yet. Ever since this altcoin was created several days ago, people have been calling out how they will “crash the market” whenever possible. So far, nothing has crashed yet, but the price is certainly going down by leaps and bounds right now.
More specifically, one BHC is currently valued at US$284.89. That is less than one-third of its all-time high value of US$756, which was reached two days ago. Anyone with some common sense knew that price wouldn’t be maintained for long and a price correction was inevitable. One question remained unanswered, though: how low could the price go and when would the correction go into effect? It seems like today is the day, although this downtrend may extend throughout the entire weekend as well.
It is unclear how markets will evolve over the coming days. With multiple exchanges now allowing deposits of Bitcoin Cash, there will be more coins available on the open market. A lot of these coins belong to Bitcoin Core supporters who want nothing more than to effectively dump their BCH at the lowest price possible. Such behavior stupefies some people, as getting the most money for Bitcoin Cash seems a smarter approach. Then again, the people dumping these coins as soon as possible aren’t doing so out of monetary gain but rather to prove a point. There is a genuine dislike for this altcoin, that much is certain.
With Bittrex finally enabling deposits, the price is taking its biggest beating there. In fact, the price on Bittrex is trading below Kraken’s price, which is rather unusual. Just a few days ago, this situation was reversed completely. This shows Bittrex could remain the largest BCH trading platform for quite some time to come. They are also one of the only main exchanges to successfully allow BCH deposits for the time being, with most other platforms still holding off.
Additionally, Bitfinex now allows margin trading for Bitcoin Cash. No one will be surprised a lot of traders will open short positions related to BCH for the time being. This creates a lot of negative pressure across all platforms as well, which will eventually achieve what these people hope for. It is unclear why Bitfinex would even allow margin trading for Bitcoin Cash, but a company has to turn a profit somehow. Moreover, if there is enough demand for it, it makes no sense not to introduce it.
Rest assured the Bitcoin Cash situation will remain rather uneasy for the time being. There is a lot of selling pressure on exchanges, even though the buyer side of the order books looks pretty solid in the lower value regions as well. A significant retrace now would certainly pave the way for future Bitcoin Cash price gains. This dumpfest was bound to happen sooner or later, and it is good to get things out of the way now. This may not be the last price retrace we see in the coming days, though. Interesting days and weeks are ahead for Bitcoin Cash, that much is evident.
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