Bitcoin's business is as good as ever. / Blog of HashFlare / SurprizingFacts

This week, on August 1, Bitcoin's main crypto-ally was split into Bitcoin and its Bitcoin Cash fork. The reasons for this division were discussed in great detail. Well, now it's time to take stock. Yes, so far intermediate, but over the past nine days quite a lot of things have happened, so you can not write about it simply.

In addition to the fork itself, the main events of the past week were the record-breaking Bitcoin course, the SegWit protocol fixation and the predictions of a number of analysts that the bitcoin course will soon reach the $ 5000 mark, backed up by very logical arguments . Higher and higher

First, about the pleasant (for those who had a certain amount of bitcoins in their wallet at the time). The day before yesterday, Bitcoin set a historic record, having risen in price above $ 3500. Its total capitalization of the currency came close to $ 60 billion, having risen in price in general for the year in relation to the US dollar by almost 500%.

The rise of the whale pulls a smaller fish: other crypto-currencies also rise in price (Ethereum, for example, yesterday broke the bar at $ 305). But with the rate of growth of the Bitcoin course nothing can compare yet. Since April this year, the volume of the market has grown more than 4 times, reaching $ 125 billion.

Bitcoin Cash, an alternative to bitcoin itself, also keeps afloat. At the moment, the Cash rate against the dollar is $ 324, providing a total market capitalization of this coin of $ 4.4 billion

While Bitcoin Cash retains the advantage in block sizes compared to Bitcoin, which makes it easier to complete transactions. However, after SegWit earns in the main branch, it will lose its importance. It's hard to predict at this stage, but alternative bitcoin is unlikely to die, as some analysts predicted.

Let it be SegWit

Another important event in the Bitcoin world was the final confirmation of the SegWit protocol, which occurred on the block 479,708. However, after confirmation, a couple of weeks must pass before SegWit is activated definitively. To support transactions of a new type, market participants need to update their software.

It is for this reason that market participants are given two weeks for renewal so that when working on the network bitcoin, there are no incidents – neither the miners, nor the stock exchanges, nor anyone else.

At the moment, SegWit still has opponents, but there's nothing to be done about it – you can not reverse the implementation of the protocol. This is associated with much more technical difficulties than its introduction into the work.

The protocol solves both the problem of network scaling and plasticity of transactions. The last problem is the ability to change the signature of a transaction without changing the signature value. Such an operation can be made without a secret key, which was used to create the original signature.

Only forward

The fact that most analysts predict Bitcoin is now booming is not surprising: the coin is growing, what else do they have to do?

But those analysts who are a bit more responsible about their work lead reasonable arguments in support of their point of view: first, bitcoin is an exhaustible resource, which, among other things, is actively introduced into circulation by the governments of several countries. That is, bitcoin gets more and more powerful support as a means of payment. And naturally, on the wave of positive news, his course is growing.

Ronnie Moas from Standpoint Research predicts an increase in the bitcoin rate to $ 5000 as early as 2018. And he justifies this opinion with a report on 122 pages. He also believes that the market volume of Bitcoin alone should increase from $ 56 billion now to $ 2 trillion in the future.

The growth of the rate is predicted also by experts from Goldman Sachs. True, their forecasts are more mundane: they indicate a possible increase in the rate to $ 3,915 in the near future.

An expert from another financial institution, Saxo Bank, says that within 10 years the bitcoin rate may rise to $ 10,000.

In general, even having survived fork, bitcoin continues to be the locomotive of the crypto currency market. And in the coming years his leadership is not in danger.

Demand for cloud mining is growing all year: