CoinVoice has recently learned that according to CoinDesk, Peter Chung, head of research at Presto Labs, wrote in a report that concerns that the selling pressure brought about by the bankruptcy redemption of Mt.Gox will cause the price of Bitcoin to fall are unfounded, but this may be a bearish situation for Bitcoin Cash (BCH).

“Our analysis shows that BCH’s selling pressure will be four times greater than BTC’s: 24% of BCH’s daily volume vs. 6% of BTC’s daily volume,” the report reads, noting that BCH’s daily volume is one-fiftieth of BTC’s.

Chung said in an interview that the sell-off of BTC is expected to be limited because anyone who wants to exit can sell their claims in the bankruptcy claims market. Over the past decade, due to active bidding by claims funds, weak creditors have had many opportunities to exit, so it is safe to assume that the current group of creditors is composed of staunch bulls holding BTC. Traders will treat BCH "as an airdrop" and sell it immediately because the fork of BCH occurred three years after the bankruptcy of Mt. Gox. Unless there is funding rate risk, a long BTC perpetual contract paired with a short BCH perpetual contract is the most effective market-neutral way to express this view. Those who want to lock in funding rates can explore other methods such as shorting short-term futures or borrowing BCH in the spot market. [Original link]