#write2earn #Bitcoin Cash Halving Impact: Price Dip and Recovery Explained #BitcoinCash #BCH #bchđ
Bitcoin Cash (BCH), a cryptocurrency that branched off from Bitcoin (BTC), hit a speed bump in its recent upward trend on Wednesday. This hiccup came shortly after the blockchain completed its second halving event, which cuts mining rewards in half.
The first halving for Bitcoin Cash took place on April 8, 2020, halving miner rewards from 12.5 BCH to 6.25 BCH. There was much anticipation surrounding this event, propelling BCH's price up by 147.85% over the last three months and 24% in the past 30 days.
However, just before the halving, Bitcoin Cash saw a 9.94% decrease in price, dropping to $572.21 as per CoinMarketCap data. Yet, the cryptocurrency swiftly bounced back after the halving, reaching $614. Currently, BCH is down 2.40% over the past 23 hours. This momentary price dip led to liquidations totaling $4 million in 24 hours, predominantly impacting long positions with $2.92 million, while short positions made up $1.08 million, according to CoinGlass. Despite this, open interest continues to climb, reaching $782 million.
Bitcoin Cash emerged as a fork from Bitcoin in 2017 due to disagreements in the community regarding scalability and transaction fees. In 2019, it underwent another split, sparking controversy among miners as some had not transitioned to the new chain, resulting in wasted resources.
