Friday, December 9, 2022

Bitcoin Price Takes a Tumble After Renewed Fears Over a Bitcoin Cash Fork

Bitcoin Price Takes a Tumble After Renewed Fears Over a Bitcoin Cash Fork

Wasn’t the bitcoin scaling war over, like, a week ago? Yes, but it’s back again, and the bitcoin price has taken a tumble as a result.

Also read: Etherparty Wants Everyone Making Smart Contracts

Bitcoin Cash: New Drama, Same Hard Fork

The prospect of a hard fork returned fairly quickly after miners showed overwhelming support for SegWitX early last week. On July 17, bitcoin mining pool and exchange ViaBTC announced that it will designate a “Bitcoin Cash” (BCC) token for trading and mining if a User Activated Hard Fork (UAHF) happens on August 1.

When this news first hit, the community talked about it, but the markets didn’t reflect much — if any — fear over a Bitcoin Cash hard fork. But it seems that has changed.

On the 23rd, the price of the theoretical BCC token reached nearly $500 USD in China, showing that people indeed had a real interest in the coin.

Then, on the 24th, hardware wallet provider Ledger announced that it will release a tool to help its users split their coins in the event of a hard fork on August 1 — giving them holdings in both Bitcoin and BCC.

Following this announcement, the community began taking the renewed possibility of a fork more seriously, with some in the big block camp actively calling for a fork regardless of SegWit2X’s success.

However, the markets didn’t really react to this development until this morning, when Roger Ver — Bitcoin entrepreneur and the face of the big block faction — stated his intention to dump bitcoin and support BCC exclusively if the block size increase portion of SegWit2X does not go through.

Ver’s website,, relayed this message via a public service announcement:

“In the unlikely event that the 2MB block size increase portion of SegWit2X fails to activate, will immediately shift all company resources to supporting Bitcoin Cash exclusively.”

Bitcoin Price Takes a Dive

Seemingly in response, the bitcoin price dropped by more than $200 — from $2754 on Bitstamp to a low of $2511 — in a matter of hours. At press time, the price is hovering around $2550.

Bitcoin Price

Once Ver posted a link to the PSA on the r/btc subreddit, the Bitcoin community exploded with discussion over a hard fork come August 1. As usual, the big blockers seemed to support it, while Core supporters accused Ver and his followers of trying to upset the technology’s progress.

Firing shots at Core supporters on Twitter, Ver quoted a redditor from his PSA thread:

“SegWit seems like a creepy church cult where you aren’t allowed to question it — just accept and believe in it.”

Despite the resurgence of this ugly infighting, which never really completely went away, a post-August 1 hard fork is still not guaranteed.

In Ver’s own words, his mining pool will only dump Bitcoin if the 2X portion of the August 1 upgrade does not happen. Presently — other than remarks from social media users — there is no evidence of Core trying to disrupt the agreed-upon block size increase.

However, in the Bitcoin world, anything is possible, and we might still get that contentious hard fork after all.

Are we still going to see a contentious hard fork in the next few months? Share your thoughts in the comments below.

Images via Pixabay, Bitcoin Wisdom

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