A split of Bitcoin has been avoided, for now
The price of Bitcoin is soaring over the last 24 hours as a split has been avoided in the very near term.
Just in the last 24 hours the price of Bitcoin has risen by almost 30%. Briefly getting near it's all time high before pulling back slightly.
A chart of the price action can be seen here:
As you can see the price is still holding up well and looks like it is ready to make another run at those all time highs.
Ironically, Goldman Sachs called this very type of price action almost a month ago, it can be seen here:
https://steemit.com/bitcoin/@jrcornel/what-to-expect-from-bitcoin-in-the-very-near-term
To be fair, @jrcornel also called similar price action as well as probably most of the investing world. Goldman just happened to list exact numbers, and they were right on so far.
The cause of the price rise?
The price started rallying as Bitcoin's miners started announcing their support for BIP 91. This was considered the much less radical proposal of several that were floating about.
This proposal would avoid a hard fork as it stops short of altering the hard-coded limit set on transaction capacities while still offering a slightly enlarged transaction capacity.
Basically, it is what most were expecting. The "kicking the can down the round" option that so readily gets adopted whenever monumental problems surface.
BIP 91 was officially activated when 80% of all the processing power voted in favor. That was achieved late yesterday (June 20th). Currently over 97% of all the processing power on the network is voting in favor of BIP 91.
Not out of the woods just yet.
Now that the support is there, enough of the miners have to now run the software that implements this proposal within the next two and a half days. If a majority does not do this within the time frame, it would mean that BIP 91 would not activate and we would be back to square one.
Also, this proposal solves the least amount of problems, meaning that the underlying issues are likely to come up again. There still needs to be more done to handle scaling issues or users will simply leave Bitcoin for other blockchains over time.
However, for now, all systems are go.
Once we get enough miners running the software it will officially be launch time.
That is until the next scaling issue comes up again in a couple months. :)
Stay informed my friends!
Sources:
Image Sources:
http://www.coindesk.com/price/
http://www.tokkoro.com/1979150-forest.html
Follow me: @jrcornel
I think that there is a small enough minority of people in the mainstream who understand cryptocurrency that you could probably issue a press release stating that "John McCain's brain tumor announcement has calmed the waters and it's full bitcoin ahead" and they'd nod their heads knowingly and go back to their coverage of David Lee Roth taking over as the lead singer of Linkin Park.
The people who actually understand will just put their heads down and continue transforming society.
Hey there... have a read of my Bitcoin poem... let me know what you think :) people have said it brought tears to their eyes.
https://steemit.com/bitcoin/@arthur-schopen/30-bitcoin-i-penned-a-poem-for-you-it-s-my-first-poem-ever-so-be-gentle-haha
@arthur-schopen this is a link to The Complete Steemit Etiquette Guide I suggest you read it, pay special attention to point #7 "Don't post unrelated links in comments". This is the blockchain, and it took me about 15 seconds to see that you copied and pasted this exact comment into 5 posts in 3 minutes time.
Resist the temptation to try taking the spammy path.
Find posts that interest you.
Read and understand them.
If you have a comment that demonstrates to the author that you've read their post or comment, share it.
Rinse & Repeat.
What about those mining pools which have already started running their platform on segwit2 ... they must be highly worried right now :)
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Not exactly sure what is occurring, but I like it. I do know that more and more of my network of friends are talking about and are getting more comfortable with entering the market. So that must be a good sign.
Yes it is getting more and more "mainstream" every day.
Let's hope Steemit grows more now as well!
I agree the big step forward will be the increase of block size in fall, looking forward :-)
This is the time for bitcoin. All cryptocurrency go through learning curves and because they so new they will always be evolving. Technology is also evolving everyday and this is a good thing because it will just improve cryptocurrencies and their reliability, as well as there worth.
The fundament is building stronger with every upscaling debate. Positive action imo.
There is also a fork coming on Aug 1 to bigger blocks: https://www.bitcoincash.org/
https://vote.bitcoin.com/arguments/the-bitcoin-abc-client-and-big-block-fork-bitcoincash-is-a-better-roadmap-than-both-segwit-and-segwit2x
Even my tech inept boyfriend is getting hyped over Aug 1st!
Most likely banks will try to pump segwit coin while dumping big block coins to make it look like segwit has more economic support.
Time it right and you can cash out those expensive segwit coins for cheap big block coins.
So trade Litecoin for Bitcoin?
@jrcornel - This is heartening news indeed. It is great that BIP91 has been accepted by 97% of miners. When BIP91 locked in after it crossed 80%, I invested a little again in Bitcoin. Keeping fingers crossed. You are right in pointing out that BIP91 addresses least of the problems and they are likely to crop up again. I hope the community figures out some answers by then. At least Steem price has started going up again. Thanks for sharing this update. Upvoted
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Thanks for the info I was just talking about that and thinking to myself what if the coin split and look a that, the power or steemit magic! Your post pops up and answers my question. Thanks for sharing
great website to keep track of things: www.btcforkmonitor.info
Thanks for the info very much appreciated :)
The power of steemit! Think it, and it appears!
Like a genie lol
This recent turn in the Bitcoin price has added some value back to my Steem wallet so I'm happy!
Mine as well. It looks much nicer now doesn't it?! :)