Looking around on YouTube and seeing things from "The Dollar Vigilante" on Steemit, most of the videos are all confused and surprised that the Bitcoin Cash price is skyrocketing. There are titles like on "The Dollar Vigilante"
"To Buy Or Sell Bitcoin Cash, That Is The Question"
"Bitcoin Cash Skyrockets... Is There Something To It"
And this from a financial advice website... and people pay to get this advice? Amazing. But then of course, if you had some real solid investing advice, why wouldn't you just use that knowledge to make money directly, instead of selling it to other people? Hmmm... I wonder why.
This was no surprise to anyone that had actually done some research on Bitcoin and the Bitcoin split. It does take a little bit of digging however, you can't just read the headlines.
The number one reason Bitcoin Cash has become so valuable is because Segwit, the code adopted by the Bitcoin Core, is flawed; it doesn't solve any of the significant problems including block size, to allow more transactions, lower fees, and faster confirmations. Plus, Segwit, even if activated, is completely optional, even when activated. What this means is that it will actually pay for miners to approve Segwit, and not implement it in their transactions. This could eventually result in none of the transactions being signed. This barely viewed, amazing video by Peter Rizun breaks down the problem:
Roger Verr just released another video today, that further delves into the current problems with Bitcoin as opposed to other coins including Bitcoin cash, with the main point being Segwit keeping blocks full and fees high:
Another reason is that Bitcoin Cash is actually still Bitcoin, whereas Bitcoin Core or Classic, is actually something else with Segwit. Segwit is a messy hack that doesn't solve any of the big problems, other than the double-spend problem.
Plus, add in the fact that Bitcoin Cash and Bitcoin Classic have the same exact blockchain history, the same user base.... when Bitcoin Classic split, everyone still had their Bitcoin Classic, and then also had the same amount of Bitcoin Cash (unless they held their Bitcoin on an exchange, but even some exchanges honored the split).
And then you add in the profitability of mining Bitcoin Cash; after the split, there was an attempt by some miners to keep Bitcoin Cash from ever being able to mine blocks... some blocks took up to 16 hours to create because the mining difficulty was still as high as Bitcoin Classic, with not nearly as many miners, so no blocks where being found. But Bitcoin Cash held on and now the profitability of mining Bitcoin Cash is higher than Bitcoin Classic, thanks to the lowered difficulty (Bitcoin Cash implemented a faster difficulty adjusting mechanism), and the increased price. And since the block size limit of Bitcoin Cash is now 8Mb, when they did finally mine some blocks, all the backed up transactions were more easily fit into the blocks, so the blockage was cleared very quickly.
So Bitcoin Cash is still a solid chain, not a hacky flawed Segwit Chain. Bitcoin Classic still has all the infrastructure behind it including being able to spend it in many places, but I think it will be very easy to switch over to the Bitcoin Cash, as it is the same, and Bitcoin Cash is even more the same than Bitcoin Classic.
With all of these things combined, it is no surpise to me that Bitcoin Cash is on the rise... it makes total sense. There is no reason why Bitcoin Cash could not be up to Bitcoin Classic's price by next month, if enough people realize what each coin is doing, and it seems that is exactly what is happening.
I also found a fantastic up and coming crypto channel, that seems to give very wide fair advice, called Crypto Daily. His subscriber count is sky rocketing and it is because the content is very good. Here's his latest take on Bitcoin Cash:
In the end, do your own research, and don't fall for people who pretend to have some magical or insider knowledge... if they did, they would be investing, not selling it to you!