Bitcoin Cash is currently enjoying a bullish period in the market. Over the past 24-hours, the asset breached above $700 for the first time since August 2018. The asset had recently dropped off the top-10 rankings but it is currently back in the top-10 with a market cap of $13 billion.
The parabolic rise is illustrated in the chart above as BCH has surged close to a 100% since the January 28th. While the current rise came at the back of a proponent’s support, is it possible for Bitcoin Cash to continue surging up in the charts?
Kim Dotcom support Bitcoin Cash
Many people are asking me why I’m supporting Bitcoin Cash and why I think it has the biggest upside potential. Good question.
I made this little website for you:https://t.co/DIOiBCf1HB
— Kim Dotcom (@KimDotcom) February 12, 2021
Market speculation suggested that BCH’s price moved drastically upwards after Kim Dotcom, founder of Megaupload bestowed a positive call-out to Bitcoin Cash. He also created a website dedicated to Bitcoin Cash 24-hours later, in order to underline Bitcoin Cash’s ‘upside potential.’
The current argument in the space is whether BCH can sustain this rally over a long-time. Short-Answer? Possibly Not.
Bitcoin Cash reaches low hash rate on 8th Feb
On 8th February 2021, Bitcoin Cash’s network hash rate dropped down to 813 PH/s, an all-time low since the bull run of 2017. The hash rate is currently back above 3 EH/s, but this is solely due to the fact that the price jumped close to 50% in the past week.
The cost of attacking Bitcoin Cash’s network remains quite low at press time. Illicit actors may attack BCH for $8,560 per hour, while for context, it requires $716,072 to attack Bitcoin.
The security aspect of BCH is clearly not trustable from the above facts but their lack of development funds screams trouble.
BitcoinABC fund page: Is it dead?
Earlier last year, the Bitcoin ABC organization had a funding goal set up for further developments on the network. The goal was to hit $3.3 million in USD and on June 25th, 2020, as reported by AMBCrypto, the progress was 53.63%.
At press time, the website displays a progression rate of 55.10%. These numbers do not exactly light a positive direction in BCH’s favor.
Running with the Bulls as long its can?
It is difficult to be hopeful about Bitcoin Cash as it is still far-off from its all-time high valuation. While Bitcoin has consistently grown in stature, interest, and adoption, Bitcoin Cash cannot really boast of any such developments in the recent past.