For the past 1-3 weeks, bitcoin has seen a dramatic increase by more than $1000 USD per bitcoin from $2,900+ to somewhere around $4200+ as I write, you can check current bitcoin price via this link.
You may be thinking or asking, what is the reason behind bitcoin price increasing very rapidly like this? I did some research and found out the reason behind this increase.
The picture above is the snapshot of price of bitcoin around 12pm on 13th august, 2017 GMT+1.
The major reason for this increase in bitcoin price which will still continue to increase is due to BitCoin Cash(BCC), an alternative coin that splitted from Bitcoin(BTC) after the hardfork of August 1, 2017 that made the popular bitcoin to be splitted into two which are namely: Bitcoin(BTC) and Bitcoin Cash(BCC).
Now let me explain the logic behind the increase;
After the split of bitcoin into two coins, the former one(BTC) maintained its price and it is the one that we are talking about its rapid increase, then the second one BCC found it level around $400/1BCC. Because BCC is new, there is a lot of uncertainty around it.
Someone I interviewed told me this: “BCC is rather new and it’s still unpredictable, no one knows for a fact now if it will actually be cash so that is making it unstable and that is part of what is driving bitcoin(BTC) price higher”. He further said: “People want to buy as much bitcoins as they can just incase BCC actually turns out to be a cash currency at the end of the day”. “One of the coin has a higher chance of evolving into a cash currency”. He concluded that if anyone is going to invest in bitcoin, they should keep a very close eye on BCC because it will affect the price of BTC.
It is expected that this increase in bitcoin price will continue for several months ahead, and bitcoin BTC price will then be determined by what happens to BCC(Bitcoin Cash).
If you are still confused about becoming part of bitcoin, and holding bitcoin, visit this earlier post I wrote about creating a bitcoin wallet, and how to buy or sell your bitcoin. You can also drop comments to find out about bitcoin.
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