According to Odaily, Singapore-based trading company Presto Labs has recommended its clients to bet on the strength of Bitcoin (BTC) and short Bitcoin Cash (BCH) to profit from the ongoing Mt.Gox repayment. Last week, the now-defunct exchange Mt.Gox began repaying creditors affected by the 2014 hacking incident. In the coming months, billions of dollars worth of Bitcoin will flow into the market, with over $73 million worth of BCH and approximately $9 billion worth of BTC to be distributed to traders.
Presto analyst Peter Chung stated that analysis indicates that the selling pressure for BCH will be four times that of BTC, i.e., 24% of BCH's daily trading volume compared to 6% of BTC's daily trading volume. Unless there is a risk of financing rates, going long on BTC perpetual contracts paired with shorting BCH perpetual contracts is the most effective market-neutral way to express this viewpoint.