Bitcoin (BTC) and Bitcoin Cash (BCH) are similar digital currencies because the latter is a hard fork of the former. Some investors usually face the dilemma of which one to invest in between BTC and BCH. The cryptocurrency market as a whole suffered price dips and volatility mostly throughout the year 2018; so, this might be a tough decision to make at the time.
Price Movements through the Year
Bitcoin which hit its all-time high a few weeks prior started at a price of $15,000 at the beginning of the year, dropping to the $7,000 price mark for most of the year, oscillating in the area of that price. By November, the price of Bitcoin fell seriously from its $6,000 trading mark to as low as $3,100 in a period of panic sales by cryptocurrency investors. The price of Bitcoin still, however, huddles around the $4,000 mark. The year 2018 has mostly been described as a jointly bad and uneventful year for Bitcoin.
Bitcoin Cash, on the other hand, started the year with its price mark around $2,400. Its price had earlier peaked to $3,700 a matter of days ago after it was announced to be listed on Coinbase, starting price hikes in the crypto market and increasing demand for the coin that had just five months earlier been trading at a price of $240 after its creation, the activation of the Bitcoin hard fork led by Roger Ver, a Bitcoin, startup investor. In a move mirroring the volatility of its predecessor, Bitcoin, Bitcoin Cash dropped by over 50% in prices in just a month as the whole of the cryptocurrency market suffered losses.
While the market was still licking its wounds, a further price drop followed with Bitcoin Cash dropping steadily, rising and finally began a downward price slope process as prices oscillated at $500 for a significant part of the rest of the year. Last month, Bitcoin Cash developers failed to unanimously decide on the impending Bitcoin Cash fork, leading a new hard fork to be activated with Bitcoin SV created. After the hard fork, Bitcoin Cash’s prices dropped to around the $200 mark it currently is.
Worthy of note is the fact that Bitcoin Cash remains the cryptocurrency with the highest price after Bitcoin despite never reaching the second position on the charts regarding market capitalization.
The Coin to Buy
The question, however, remains; is it better to Buy Bitcoin or Bitcoin Cash? The crypto bear market has seemed to have bottomed out with BTC price back to being stable at around $4,000 and rising steadily week after week. Bitcoin remains the reserve currency of the crypto market and no matter what, its 50% dominance in the cryptocurrency market cannot be underrated. Anyone who wants to purchase altcoins first has to buy Bitcoin.
The Bitcoin Cash price has, on the other hand, increased slightly relative to last week’s drop below $100. Bitcoin Cash possesses uncertainty and doubts over its future following the Bitcoin SV launch. Next year, a series of big news is set to pull the Bitcoin price up. These include the SEC’s seemingly pending approval a Bitcoin ETF, the release of Bakkt and Fidelity Investments offering clients to save their assets in Bitcoin. If all three events go well, the Bitcoin price could go all the way up to $15,000 as predicted by Tom Lee, a big Bitcoin bull.
The rise of Bitcoin’s price will ultimately lead to an increase in other cryptocurrencies, and although Bitcoin could experience a price increase of 3 to 4 times its current value, Bitcoin Cash could experience higher due to its lower price about supply. It’s easier for a coin to grow in value from $200 to $2,000; an ROI of ten times, than for one to rise from $4,000 to $40,000.
There are sides to making the decision of which to pick; to be on the safer side, you can go with investing in Bitcoin. To record potentially higher ROI but with greater risk, you can invest in Bitcoin Cash.