Bitcoin cash (BCH) is up by 12% within the last 24 hours after an IPO filing was made by one the coin’s major stake holders ‘Bitmain’. The crypto coin seems to be reacting positively to Bitmain’s Initial Public Offer move with its value gradually gaining against the dollar & peer digital assets.
This Bitcoin fork is has appreciated to trade at $562 at the moment; its market cap stands at $ 9 billion placing it 4th out of over 1800 crypto currencies according to coinmarketcap. BCH altcoins value consists of a significant 4.22% of the total cryptocurrency markets.
At the moment, Bitcoin Cash is on its highest price so far this week while its bulls might get stronger as per market sentiments. This crypto coin has proven a potential long-term break from its $520 below range as we enter the prospectus Q4.
However, Bitcoin Cash is yet to stabilize in its new price range according to the trend recorded today. It went as high as $560 and traded for as low as $520. This shows that the crypto market is indeed yet to get rid of its highly speculative nature within an unregulated ecosystem.
Bitmain’s Initial Public Offering (IPO)
Cryptocurrency analysts have attributed BCH’s price action to Bitmain’s IPO suggesting that this automatically means better prospects for the Bitcoin Cash project.
A senior eToro market analyst, Mati Greenspan, is quoted supporting this sentiment,
“This spike was definitely caused by Bitmain’s IPO filing,”
CoinDesk reported that the cryptocurrency mining oriented firm had begun the prospectus filing process on 26th September. This means that if successful, Bitmain will issue an IPO for investors’ funds to support its blockchain & crypto mining activities.
Furthermore, Bitmain’s books are quite impressive; the firm reported a net of $700 million within the first half of 2018 according to MarketWatch. It basically means that Bitmain’s profits had increased by a massive 800% compared to 2017 stats.
In their filing, Bitmain also indicated an increase their value as a firm noting that the current $2.8 billion revenue is almost ten times that of 2017.
The Effect on Bitcoin Cash (BCH)
Crypto players who have commented on this move noted the perfect market timing by Bitmain to file for an IPO. Bitmain revealed their books confirming that indeed the company’s going concern is guaranteed financially. This consequently affected the position of Bitcoin Cash (BCH) in which Bitmain is a significant HODLer.
Amulet Crypto derivatives network Managing Director, Marouane Garcon, echoed the positive effect BCH is likely to leverage from this move,
“It has been no secret that Bitmain holds massive amounts of BCH, but now that they are going public they are going to fill their already immense treasure chest with more money, and I’m confident a good chunk of it will go towards the development of BCH. Exciting times ahead for Roger and Jihan.”
BCH Gemini Exchange Listing
Bitcoin Cash (BCH) prospects have been better each day since the week began. The crypto coin is set for integration with the popular Gemini Exchange, a popular coin trading platform in today’s crypto space. According to a tweet by Gemini Trust, BCH is set on the regulation part & only a launch date awaits the crypto coin,
We announced during the Litecoin Summit that we would be launching LTC support on October 13th. We’ve already received regulatory approval to list BCH but haven’t announced a launch date as of yet. We will be sure to let everyone know when BCH is available for trading!
However, most analysts have stuck to Bitmain’s theory as the major price driver for Bitcoin Cash (BCH) in the market right now.