Bitcoin and other cryptocurrencies have taken global markets by storm, becoming common facets of any well-diversified portfolio. Cryptocurrencies like Bitcoin are even being used more and more often for everyday transactions, such as when customers head to local small businesses, and mining is becoming more and more effective, with such fads as Bitcoin Cash increasingly becoming mainstream. But does that mean that these cryptocurrencies and the cash functions they’re increasingly pivoting to will be around for the long-term?
A quick analysis shows that Bitcoin Cash could very well be headed for an all-time high, but that it’s still being haunted by some crucial hurdles that could stymie its long-term gains.
Bitcoin and Bitcoin Cash have their fair share of enemies
First and foremost, we’d be remiss if we talked about Bitcoin and Bitcoin Cash without mentioning the slew of enemies and hurdles the cryptocurrency has accrued on its journey to the height of global currency markets. From the get-go, investors have been haranguing Bitcoin left and right, triumphing anytime the cryptocurrency’s valuation plummeted from an all-time high. Famous investors like Warren Buffet have even gone so far as to label cryptocurrencies like Bitcoin as even worse than rat poison from a financial perspective.
None of this has deterred Bitcoin’s historic rise, however; the cryptocurrency has continued to defy all odds, regularly flouting the expectations of its harshest critics. This is in-part because of Bitcoin’s wonderous ability to innovate, and there’s perhaps no better example of that creativity than Bitcoin Cash. Bitcoin Cash is the cryptocurrency’s answer to the scalability dilemmas that the crypto-investing community has been in an uproar about since Bitcoin’s debut, and helps facilitate even more Bitcoin-based transactions so that investors can get a greater bang for their buck.
Increasingly, it’s becoming obvious that Bitcoin Cash is essential for Bitcoin’s overall wellbeing in the long-term, and it’s becoming apparent that Bitcoin Cash could be heading for an all-time high as far as valuation goes. That’s because cryptocurrency is getting more and more talented at competing with established financial giants, like Visa, who can facilitate up to 150 million transactions per day. Until cryptocurrencies like Bitcoin possess the power to handle such a huge sum of transactions as that, they’ll never possess the oomph they need to seriously compete in the market in the long-term.
Professionals have long posited that for Bitcoin to become a staple of international marketplaces, it needs to do more to become commonly used for everyday transactions. Bitcoin Cash, which essentially functions as its own independent cryptocurrency with a much greater capacity for upscaling that traditional Bitcoin, could be the missing link between cryptocurrencies and global financial dominance. While established economic institutions still view the digital currencies with suspicion, and are working harder by the day to initiate broader regulatory crackdowns on, Bitcoin Cash’s continued rise could help make these cryptocurrencies more commonly accepted and favorably viewed by the public.
Bitcoin must adapt or die
It’s clear that Bitcoin must adapt or die, so is Bitcoin Cash enough to ensure that cryptocurrencies continue to enrapture the market? Cryptocurrencies have regularly seen their valuations plummet whenever governments around the world prepare themselves for widespread regulatory scrutiny, a hurdle yet to be overpassed any digital currency; if Bitcoin Cash becomes commonly held throughout the world, however, such concerns will likely be a thing of the past.
Bitcoin Cash may have only been launched in August of 2017, but it’s already seeing a widespread acceptance amongst cryptocurrency investors that many other fledgling forks, like Bitcoin XT, never did. Traditional hurdles like the extraordinary amount of computing power needed to make these digital currencies work continues to beset Bitcoin Cash, but by and large it’s proven itself to be vastly more scalable than many alternatives, which could prove to be the key factor that fuels its continued rise. As long as investors see that changes to Bitcoin’s central coding will be slow thanks to the widespread consensus amongst investors needed for such a change, they’ll likely continue to keep their eyes open for alternatives like Bitcoin Cash. Does that mean that the digital currency is going to soar off to historic heights like its predecessor once did? Probably not; increased scrutiny and misinformation in the marketplace will see to that. Nonetheless, it’s fairly easy to see that Bitcoin Cash and its unique scalability have serious potential in the market, and will come to forge a respectable name for itself amongst investors. Whether that means it will continue to tick upwards towards all-time highs remains to be seen, but the cryptocurrency has yet to seriously disappoint thus far. Old money billionaires like Warren Buffet may continue their crusade against cryptocurrencies, but these exciting new forms of digital tender are clearly just getting started.