The fork of Bitcoin Gold (BTG) which took the most of the attention – is finally here. The fork is expected to take place on Tuesday, the 24th of October around 4AM GMT, when Bitcoin’s blockchain reaches block number 491407. Bitcoin Gold is an altcoin, but unlike other altcoins, this alt shares the same history as Bitcoin’s history.
Everyone who holds Bitcoin at the time of the fork, or in other words, holds the coin in his private wallet when Bitcoin’s blockchain reaches block number 491407, will receive Bitcoin Gold, in a 1:1 ratio. This means, that if someone has held 2 Bitcoin in his private wallet during the fork, he will have 2 Bitcoin Gold in the new forked blockchain.
Some of the exchanges had announced that they will support the BitGold fork. In Bittrex for example, Bitcoin holders will receive Bitcoin Gold for the Bitcoin they hold in their balance.
In last week’s update, we mentioned the preparations needed in order to receive Bitcoin Gold and which wallets should be used.
It is important to read the details, in order to avoid falling into a Replay-Attack, which is an attack that can cause coins sent on one blockchain, to be sent on the other chain as well. It is highly recommended to follow the press and get updated, even though the chances of seeing such an attack on the network are rare.
The hype which was created following the upcoming fork, shifted the interest away from the disputes which exist in regards to the upcoming major fork in November, where the chain is planned to overcome a serious split between the main groups that can actually divide the network, there are harsh arguments around this subject. Please note that there is no connection between the current fork, and the fork we passed through on August with Bitcoin Cash, and to the upcoming fork which is planned to take place on November (the New-York agreement and Segwit2x).
Below is a comparison between Bitcoin Gold, Bitcoin and other forks, taken from Bitcoin Gold’s website:
So, what did we have this past week?
Another week of price increases for Bitcoin and a new all-time high. We have visited the areas of over $6000 for a bit. In the recent hours, there has been a price decrease of 3-4 percent, which is considered a healthy correction. In general, the whole situation around Bitcoin looks positive.
The effect of the vast preparations for the upcoming fork took a lot of value off the altcoins to Bitcoin. The total crypto market cap did not grow up, this brings us to the conclusion that this is indeed the case.
Speculations on the price of Bitcoin Gold currently predicts a price of about 5-6% of Bitcoin’s price. The altcoins have slightly stopped their continues decrease, some of them found new floors which they haven’t been in for a very long while (Litecoin is back at April’s levels). The expectation is that the money that moved from the altcoins to Bitcoin for the fork, will get back to the altcoins, especially when considering the fact that the altcoins’ prices went down a lot relatively to Bitcoin’s price. Against the dollar the altcoins were less affected, as Bitcoin’s price have risen relatively to the the Dollar.
Another interesting question – Did the attention, originated in Bitcoin Gold, affected Bitcoin’s price and is it justified? We did not find any justification and other advantages for Bitcoin Gold, especially when comparing to leading altcoins (time will tell, though), such as Ethereum, besides the advantage that for receiving a new coin just for holding Bitcoin. This coin’s vision is to decentralize the mining process by restricting its mining to GPU mining only. A GPU is a piece of hardware which is relatively easy to acquire (can be found on any computers’ store). In comparison, an ASIC, which is a dedicated machine for Bitcoin mining, is a product that is very hard to get. This can cause centeralization within manufacturer’s competition.
A description of the altcoins market versus Bitcoin now a days can be seen in the following chart, it shows the negative correlation between Bitcoin and OMG:
So, what did we have this past week?
Another week of price increases for Bitcoin and a new all-time high. We have visited the areas of over $6000 for a bit. In the recent hours, there has been a price decrease of 3-4 percent, which is considered a healthy correction. In general, the whole situation around Bitcoin looks positive.
The effect of the vast preparations for the upcoming fork took a lot of value off the altcoins to Bitcoin. The total crypto market cap did not grow up, this brings us to the conclusion that this is indeed the case.
Speculations on the price of Bitcoin Gold currently predicts a price of about 5-6% of Bitcoin’s price. The altcoins have slightly stopped their continues decrease, some of them found new floors which they haven’t been in for a very long while (Litecoin is back at April’s levels). The expectation is that the money that moved from the altcoins to Bitcoin for the fork, will get back to the altcoins, especially when considering the fact that the altcoins’ prices went down a lot relatively to Bitcoin’s price. Against the dollar the altcoins were less affected, as Bitcoin’s price have risen relatively to the the Dollar.
Another interesting question – Did the attention, originated in Bitcoin Gold, affected Bitcoin’s price and is it justified? We did not find any justification and other advantages for Bitcoin Gold, especially when comparing to leading altcoins (time will tell, though), such as Ethereum, besides the advantage that for receiving a new coin just for holding Bitcoin. This coin’s vision is to decentralize the mining process by restricting its mining to GPU mining only. A GPU is a piece of hardware which is relatively easy to acquire (can be found on any computers’ store). In comparison, an ASIC, which is a dedicated machine for Bitcoin mining, is a product that is very hard to get. This can cause centeralization within manufacturer’s competition.
A description of the altcoins market versus Bitcoin now a days can be seen in the following chart, it shows the negative correlation between Bitcoin and OMG:
Recently, ICOs find it very difficult to raise money these days and many of September’s ICOs did not generate any profit and even led to losses among investors. The events in the crypto market in the short term do not tell too much for the long term, but it appears that in the field of ICOs and token sales, there is a slowdown.
Little more crypto news from the past week
In the US, the world’s first exchange for crypto derivatives was opened under regulation, only on its first week, its volume exceeded one million Dollars. Sweden becomes the first country in the world to regulate debt through Bitcoin. On November 1st, the third developer conference of Ethereum begins (Ethereum Devcon 3). BitMEX recommends selling B2X, which they call a shitcoin.
This week we reached a record price of $6180 on Bitstamp. As the price goes higher, so do the interest and the FOMO (fear of missing out). In the last 24 hours we have seen a quick correction down to the price of $5617, and a stabilization back around the price of $5800. A very fast correction tells that we are in a rally. An additional correction may be coming in the short term, but it is still not certain as we might see additional resistance. The effect of the upcoming forks must be taken into consideration.
Against Bitcoin, support level breaks one after another, as we continue to dive. At the moment, we are approaching the areas of support from which we have climbed in March this year. The value is at 0.047BTC, losing another 15% of the price just last week.
Against the dollar, we see the same story from previous updates. The price was around $300 and broke down to $280 volatilely. In case we lose support around $300, then the our next stop is at $240.
High demands created a pump that up to around 0.061BTC and again the price is set back down to the support areas of 0.05BTC. Is there more room for the price to fall? Will we get a new low for Bitcoin Cash?
Against the dollar, the price gets supported around $300 with increases towards the $400 direction.
The price is back down to the support areas around 0.04BTC. The coin did not return to the price levels from January, unlike many other coins. Against the dollar, DASH shows great support around $270, the support around $300 has weakened for DASH as well.
