Ethereum and Bitcoin Cash Are Soaring Despite A Broader Selloff

Bitcoin has posted losses for the third straight session in a row, while Ethereum and bitcoin cash gained further momentum in Wednesday trade. Several other cryptocurrencies are also declining, due to traders concerns over the future of digital currency.  After strong gains in the last two days, Ethereum has gained close to 12.8% in Wednesday trade.

Bitcoin Cash also increased sharply by 12.3% in the last 24 hours. Litecoin fell almost 2.5%, while and Ripple dipped sharply for the third successive day.

Following the latest selloff in Ripple price, Ethereum now holds the second place in term of market capitalization. Although Ethereum offers lower transaction fees and shorter transaction wait times, the recent glitch in its algorithm to evaluate costs has forced several users to pay considerably higher fees than usual.

In an email to CoinDesk.com, developer Nick Johnson explained that many popular wallets—including MyEtherWallet, MetaMask, and Shapeshift—use what is called a “gas oracle” to calculate transaction fees.

Lower fees and minimum wait time led bitcoin cash to become an alternate of Bitcoin. It was launched in August 2017 and it is hard-fork of Bitcoin.

The stock price of Kodak has increased more than 200% in the last two days, while investors have welcomed its move of using blockchain technology.

The growth in the value of bitcoin cash is supported by Overstock.com, which amalgamated bitcoin cash with bitcoin. It is currently standing at the fourth spot in terms of market capitalization. Its market capitalization stands around $45.8 billion, trailing just behind ripple, ethereum, and bitcoin.

Excluding ethereum and bitcoin cash, the majority of cryptocurrencies suffered big losses since the start of this week, impacted by the removal of South Korean exchanges from coinmarketcap.com website.

Moreover, China’s strategy to impose strict regulations on cryptocurrency mines working against the prices. Negative comments Warren Buffet also impacted crypto prices. “We’ll never have a position in them,” Buffett, chairman, and CEO of Berkshire Hathaway, told CNBC’s “Squawk Box” Wednesday morning. “I can say with almost certainty that they will come to a bad ending.”     

Featured Image: TopBots

Based in Saudi Arabia, Siraj has a strong understanding of and passion for accounting and finance. He has worked for international clients for many years on several projects related to the stock market, equity research and other business, accounting and finance related projects. Siraj is a published financial analyst on the world's leading websites including SeekingAlpha, TheStreet, MSN, and others.
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