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RE: Market is going dip n dip...why?

in #bitcoin7 years ago

So why the market is dipping?
Clearly because of Ethereum failing to process transactions (clogging on the network) and Bitcoin scaling debate (USAF and SegWit2x). In order to predict when the market is going to bull again, you have to follow the solutions for these issues.

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If the blockchain splits. Several potential outcomes can happen with these particular three ideas; The user activated soft fork(UASF) that begins on August 1, Segwit2x which starts around mid-July to October, and the more recent Bitcoin ABC (UAHF) that might deploy in August.

There’s a number of things that could happen with any one of these plans, but the biggest fear is the possibility of a chain split. A chain split is when the blockchain fractures into two chains due to the fact that consensus was not met during an upgrade. That means a particular portion of the Bitcoin network participants disagreed on the plan and chose to ignore the other side’s rules or protocol upgrade. This happened with the Ethereum network, and now there is another blockchain called Ethereum Classic. Now, just because the Bitcoin blockchain splits it doesn’t mean the smaller chain will survive. But the first and foremost thing every bitcoin holder should know if they both survive; If you hold your private keys during a chain split you will be able to retrieve tokens for both chains.

Afterthought:That doesn’t mean you will double your money as one token will be worth considerably less than the chain with the most proof-of-work and possibly even be worthless. The chance of a smaller chain surviving with the current network difficulty for miners would be a tough thing to accomplish, and the chain would need a decent amount of support to survive. The new chain or the legacy chain does have a chance to grow longer than the other, and each chain will have a certain amount of hashrate. If there is a chain split the likeliness of significant price fluctuations and confusion is very probable.

That is what scaling debate is about. You are looking at it from a technical perspective, and that is good. That means that you probably know that SegWit2x is a dangerous code that is created for personal gain. It doesn't serve the Bitcoin community. Bitcoin ABC is just a political tool to delay SegWit activation trough the BIP148, and I doubt that they have even started creating this code.
The actual chain-split doesn't benefit anyone. So we have to keep in mind that it is more of a political debate than it is technical.