After a long wait we finally have SegWit activated on the Bitcoin network. This will initiate significant changes to the Bitcoin protocol — more transactions and almost zero fees without increasing the blocksize.
Bitcoin price soon experienced a slight uptick following the SegWit deployment. It reached as high as $4250 on Thursday and the entire market cap hovered between $150 billion and $155 billion. The reason why Bitcoin price didn’t see an immediate bump is because of the rising mining power for Bitcoin Cash, which threatens to to keep SegWit2x hard fork issues in play.
Despite that majority of the analysts continue to be bullish on Bitcoin and anticipate that SegWit will cause the price to reach $5000 by the end of this year. It would be interesting to see how Bitcoin price reacts to losing mining power to BCH and SegWit2x hard fork in November.
My two cents: Had it not been for BCH and SegWit2x, there is a good chance Bitcoin price would have already crossed $6000 by now.
Top Stories from the Crypto World
1. SEC suspends trading of publicly listed Bitcoin firm
The US Securities and Exchange Commission (SEC) has issued a temporary suspension on the shares of publicly-traded bitcoin firm First Bitcoin Capital.
The SEC said that the suspension would last until at least 11:59am ET on September 7. Notably, First Bitcoin Capital’s shares are traded over-the-counter, and prior to the suspension were trading at $1.79 apiece
This is the second cryptocurrency-related suspension initiated by the SEC this month.
2. Bitfinex to charge $25 to ‘Rescue’ Incorrect Transactions
Cryptocurrency exchange Bitfinex will charge users who send funds incorrectly $25 to ‘rescue’ their transactions. The move will act as a wake up call for the countless numbers of entry-level traders who have signed up to Bitfinex in recent months as cryptocurrency trading expands significantly. The exchange said:
“As of Friday 25/08, 00:00 UTC recovery of deposit errors (e.g. depositing BCH to a BTC address and vice versa) will be subject to a $25 fee.”
3. MGT Capital raises $2.4 million
Cybersecurity entrepreneur John McAfee’s company, MGT Capital, raised $2.4 million in new funding to help build a new bitcoin mine.
The funding will be used to expand MGT’s bitcoin mining operations in the northwest US, where plentiful hydropower has attracted more than a few miners.
A good thing to know: John McAfee has been extremely bullish on Bitcoin in the past. He recently predicted the price of Bitcoin to reach $500,000 a piece in 3 years time. Also, according to him Bitcoin as an invention is as revolutionary as agriculture.