Bitcoin Retakes $6,500 After Very Difficult Week
The last week has been a pretty rough one for the Bitcoin price, to say the very least. That is not entirely surprising, as the main focus has been on pumping Bitcoin Cash well beyond its true value. Slowly but surely, things are changing in favor of Bitcoin once again. With a price of US$6,547 at the time of writing, an important first step has been taken, though we could see more dips before the year is over.
With all of the issues we have seen in the Bitcoin world over the past week, it is not entirely surprising the Bitcoin price experienced a massive dip. A lot of money was moved from BTC into Bitcoin Cash, although that trend may start to reverse sooner rather than later. For all intents and purposes, the BCH pump is completely over right now and money is flowing to different currencies again. Altcoins may have a very good day today as well, but the main focus will be on the Bitcoin price.
Already, we have seen some wild Bitcoin price fluctuations over the past 24 hours. After an initial rejection at US$6,400, the Bitcoin price soon headed south once again and went as low as US$5,750. Such a sharp dip was not entirely unexpected given the network issues and miners who switched over to Bitcoin Cash. Now that this situation has changed in favor of Bitcoin once again, things will get very interesting for this cryptocurrency.
With the mining hashrate back in favor of the Bitcoin chain itself, the mempool of unconfirmed transactions should empty over the next few hours. There will always be new transactions coming in, but for the time being, it seems as if things are going well. This has resulted in a 13% increase in the Bitcoin price, as its value has soared from US$5,750 all the way back to over US$6,500 in just a few hours.
Thanks to over US$6.65 billion in 24-hour trading volume, it is evident Bitcoin is more than ready to reclaim its rightful place as the world’s leading cryptocurrency. Rest assured there will still be some major price volatility in the hours to come, but for now, things are looking relatively stable. It remains to be seen if this trading volume will lead to more money being moved from altcoins to Bitcoin or vice versa.
Unsurprisingly, Bitfinex is still the busiest Bitcoin exchange in terms of trading volume. Its lead on Bittrex is under US$80 million, and depending on how much people sour on BCH, that may become the main trading market for Bitcoin later today. Bithumb is in third place, and it currently values Bitcoin at over US$6,700, quite different from the Western exchanges. Twelve exchanges registering over US$100 million in 24-hour trading volume is pretty solid, even though there are a few Bitcoin Cash markets involved as well.
The question everyone wants to see answered is whether or not we are poised for a Bitcoin price recovery. It is possible we will see some more Bitcoin price volatility before things get stable again. When that will happen is anybody’s guess right now. It is evident most altcoins will try to mount a strong comeback now that the BCH pump is officially over for the time being.