Cryptocurrency Market: BCH Hard Fork, Petro Forces Adoption

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Cryptocurrency Market BCH Hard Fork, Petro Forces Adoption

During the past week, Bitcoin Cash (BCH) and Petro made the most noise on the cryptocurrency market. Looking at the trends, the new Bitcoin Cash Satoshi’s Vision (SV) coin – supported by Craig Wright – seems to have attracted a large number of mining pools. However, Bitcoin Cash ABC – supported by Roger Ver has more nodes. On the other side of the world, Venezuela’s Petro currency is forcing its way into savings plans, OPEC, and indemnities.

Bitcoin Cash hard fork nearing

The industry seems to be bracing itself for the Bitcoin Cash (BCH) hard fork on November 15. In our previous weekly analysis, we reported that BCH’s price had grown by 50 percent thanks to the announcement of the fork. However, the coin’s price soon dropped back to its November 4 value. Despite that, the new BCH SV coin has seen its support grow in the mining community.

According to Coin Dance, between 66 and 77 percent of the total mining pool favors Craig Wright’s proposal. That level of supports suggests Wright’s idea of raising the maximum block size from 32MB to 128MB has won the popularity contest. On the other hand, the “real” BCH ABC clan – led by Roger Ver – is insisting on a new software update.

This week will be very interesting as the battle between the original BCH platform and the new SV network heats up. SharkPool, a BCH start-up, aims to launch a mining pool dedicated to attacking altcoins and forks that, according to them, do not fulfill Satoshi Nakomoto’s vision. Operated by CashPay Solutions, the group supports the SV version and will attack BTC ABC. In order to protect itself, the ABC clan is planning some radical moves, such as changing the proof-of-work algorithm.

The curious case of Petro

The cryptocurrency market has seen several serious battles during the past week, paving the way for new trends to emerge. Venezuela’s Petro token has caused a stir, with forced adoption increasing inside the country. On November 6, Venezuela’s Supreme Court of Justice (TSJ) issued a nation-wide decree that all indemnities must use Petro as a means of payment. Additionally, the government announced a savings plan for its citizens based on Petro investments.

Outside of its borders, Venezuela is trying to increase Petro’s market penetration through artificial trends in the cryptocurrency market. Authorities are preparing to present the oil-backed coin to the Organization of Petroleum Exporting Countries (OPEC) as a unit of account for oil. Additionally, TeleSUR TV announced that people can now trade Petro tokens for other cryptocurrencies – such as Bitcoin – but only if they bought those tokens in 2018. This shows how intent the Venezuelan government is to keep Petro afloat by any means. As it stands, they are imposing, rather than driving, adoption of the coin.

Other trends in the cryptocurrency market

Apart from BCH and Petro, the rest of the cryptocurrency market went down this week. Major coins such as Bitcoin, Ethereum, and Ripple fell, and have now dipped below their early-November value. Stellar (XLM) – which performed strongly last week – suffered a downturn of 6.32 percent on November 14. Most other major coins, according to CoinMarketCap, also dropped in value. ChainLink (LINK) is the only coin that seems to be on a prolonged bullish run, reaching its highest price in almost nine months.

In terms of exchanges, the industry has not seen large changes in recent weeks. According to rankings from the Blockchain Transparency Institute, Binance remained in the top spot in terms of 24-hour volume.

Several experts have explained the market’s overall sluggishness as immaturity. Eric Wall from Cinnober, a financial tech company, said: “Cryptocurrency exchanges currently are extremely immature from the traditional financial market’s perspective.”

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