Bitcoin Cash – What is it?

Buy Bitcoin Cash
-Bitcoin Cash – emerged as an alternative to Bitcoin from a fork and has grown into one of the largest crypto currencies on the market. BCH was created because there was a dispute in the Bitcoin community about the scaling of the blockchain. New block sizes were needed.

Bitcoin Cash – What is this Bitcoin code?

The single block of Bitcoin’s blockchain is 1 MB in size. There are good reasons for the Bitcoin code: The transactions are stored in this block before a new block has to be created by mining. With an infinitely large block, users would have difficulty downloading the block chain. Therefore, the block size was limited to 1 MB. This was completely sufficient to start the Bitcoin. In the meantime, however, so many transactions have been carried out that the block is quickly filled. The miners charge fees for prioritizing transaction requests. Otherwise, the transactions could take hours.

The Bitcoin profit was mainly about increasing the block size

And that from 1 MB to 8 MB. A fork is a branch of a software project in which the code of a software, in this case the Bitcoin profit, is copied and then further developed separately. BCH’s fork was preceded by a dispute about Bitcoin’s future and how to solve the scaling problems. This dispute lasted two years, until some members of the Bitcoin community carried out the hard fork on August 1, 2017.

However, the problem for mining was that many of the transaction fees from which miners also benefited would be eliminated. In the beginning, there were actually far too few miners. At Bitcoin, the difficulty of creating new blocks adapts every 2016 blocks. At BCH, the “Emergency Difficulty Adjustment” had to be introduced because you couldn’t wait until 2016 blocks were generated to adjust the difficulty. As a result, many miners made a switch and merged to form Bitcoin Cash Mining Pools. The demands on hardware and power costs are still very high and solo miners still have little chance of profiting at all.

Since both crypto currencies are largely the same, the same requirements are placed on mining. Complicated SHA256 algorithms still have to be solved. A Bitcoin Cash Calculator can be used to determine whether BCH mining is also worthwhile in terms of hardware acquisition costs and power consumption. Finding a BCH Mining Pool is advisable.

For the user, the higher block size of 8 MB has the advantage that the fees for transactions are considerably lower. In November 2017, sending 1 BCH cost around 20 cents, while sending 1 Bitcoin cost 20 dollars. Apart from that, both crypto currencies are the same. During the hard fork, owners of Bitcoin had the opportunity to exchange these 1:1 into the new crypto currency.

Another hard fork has been announced for 15 May 2018 to increase the block size to 32 MB. The community sees this hard fork as positive and necessary to solve further scalability problems.

Ripple Chart from TradingView

Ripple Price Analysis
Looking at the chart, the price trades in a bullish zone above $0.4500. However, XRP must rise above $0.4750 to hold profits. If not, there is a risk of a downward reaction below the support level of $0.4500 in the near future. The MACD is in the bearish zone and is moving flat. The RSI is stable around the 55 level and shows a slight buyer’s market. The highest support level is at $0.4500, while resistance is at $0.4750.

Bitcoin Cash Price Highlights

The Bitcoin Cash exchange rate is well above the $700 support with positive signs
There is a new bearish channel forming on the hourly chart with resistance near $740 an ounce
BCH must cross the $740 and $750 resistance levels to move higher in the bullish zone
Bitcoin Cash currently holds the $700 support. BCH must gain momentum above $750 to reach the $800 resistance zone in the near future.

Technical Indicators Signals

There was a decent rally above the $700 resistance. BCH reached the $760 level and almost tested the $800 level. A high was formed at $784 an ounce before the price began to consolidate profits. However, the decline was protected by the support zone at $720. Currently, a new downward channel appears to be forming with resistance near $740 an ounce on the hourly chart. BCH buyers must cross the resistance levels of $740 and $750 to push the price towards $800 in the short term.

Bitcoin Cash Chart from TradingView
Bitcoin Cash Price Analysis
Looking at the chart, the price is in a positive zone above $700 an ounce. It is important that this support level holds up, otherwise any further decline could push the price in a bearish zone towards $650 an ounce. The MACD is currently flat in the bullish zone. The RSI is now above the 50 level and shows a slight buyer’s market. The main support level is at $700, while short-term resistance is at $750.