Bitcoin Cash doubles in price in a week | CoinDesk JAPAN | Coin Desk Japan

Open interest in futures tracking Bitcoin Cash (BCH) has surged to May 2021 levels as the network offshoots of Bitcoin see a resurgence of activity and value.

BCH price doubled in a week, according to data, making it one of the top performers among tokens with a market cap of over $1 billion. Bitcoin (BTC) and Ethereum (ETH) have risen 13% and 8% respectively over the period.

BCH open interest (unsettled futures contracts) surged from just $75 million the previous week to over $400 million on June 26. Most of the trades came from cryptocurrency exchange Binance, where traders placed long or short positions in BCH worth $240 million. It will be.

Interest in BCH trading surged to 2021 levels. (Coinglass)

An increase in open interest means either new money is flowing into the market or existing participants are increasing their allocations. This indicator can be used as an indicator to judge the strength behind market sentiment and price trends.

Network upgrades and listing on influential exchanges likely served as two key catalysts for BCH’s sudden trading interest.

Bitcoin Cash undertook a hard fork of the network in May, improving the security and privacy of the fledgling network, a scaling system that allows developers to build decentralized applications directly on the Bitcoin Cash blockchain. Introduced CashTokens.

Other improvements include the introduction of smaller transaction sizes and smart contract functionality to help reduce transaction times. Smart contract functionality will allow Bitcoin Cash-based applications to offer users recurring payments, derivative transactions, crowdfunding opportunities, and more.

BCH also appears to be benefiting from the launch of crypto exchange EDX Markets, according to crypto research firm Santiment.

The new exchange, which is backed by traditional financial heavyweights Fidelity Digital Assets, Charles Schwab and Citadel Securities, last Tuesday. It has started trading and handles Bitcoin (BTC), Ether (ETH), Litecoin (LTC) as well as BCH.

According to Santiment, the sudden price volatility from last week caught the attention of retail traders, with social media discussions about the token hitting a three-year high and trading volume hitting a record high this year, according to Santiment.

｜Translation: coindesk JAPAN
｜Editing: Toshihiko Inoue
｜Image: Shutterstock
｜Original: Bitcoin Cash Sees Largest Bets in 2 Years as BCH Doubles in a Week