Bitcoin SV Price Briefly Surpasses Bitcoin ABC Ahead of Hard Fork
With the bitcoin cash hard fork fast approaching, the rival SV and ABC futures prices are fluctuating wildly as both protocols vie for hash rate. The market took a dramatic turn earlier in the week after Craig Steven Wright, the main backer of bitcoin cash SV, revealed that more than 50% of the network’s hash power backs his protocol.
The bitcoin SV futures price briefly surpassed the competing ABC protocol on Wednesday, reaching a high of $243.79, according to CoinMarketCap.
Around the same time, bitcoin cash ABC futures dropped to a low of $239.99.
The convergence occurred at roughly the same time – 05:14 GMT. At the time of writing, bitcoin SV futures were up nearly 72% at $230. The value of bitcoin cash ABC was down 36% at $251.
Bitcoin cash (BCH) led a broad downtrend in cryptocurrency prices on Wednesday, falling 8% to $486. Trade volumes in BCH surpassed $1 billion in the last 24 hours.
Hard Fork Nears
The anticipated hard fork of bitcoin cash on Thursday is as much ideological as it is technical. Bitcoin cash ABC, the leading implementation backed by Roger Ver and Bitmain founder Jihan Wu, is said to be a full node implementation of the existing BCH protocol. As such, it will introduce significant upgrades, such as atomic swaps. Backers of bitcoin SV, on the other hand, believe their implementation is a better representation of Satoshi Nakomoto’s original vision. This means raising the block size from 32 MB to 128 MB.
While the consensus among industry is that bitcoin ABC will prevail in the so-called mining war, bitcoin SV appears to be backed by more than half of the current hash rate, according to data provider Coin Dance. Recent data show that CoinGeek, Mempool, BMG and SVP – mining pools that support SV – hold a firm majority on the network’s hash rate. This figure was as high as 77% earlier this week.
Holders of BCH can expect heavy volatility over the next 24 hours. Exchanges such as Binance and Coinbase, which have come out in support of bitcoin ABC, have announced anticipated downtime in the hours leading up to the hard fork. Several other exchanges have also announced support for the upcoming fork, including OKEx, Huobi, Upbit, Poloniex and BitForex.
Disclaimer: The author owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.
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