Bitcoin price update: Bitcoin DROPS after splitting again to create bitcoin gold
THE PRICE of Bitcoin has dropped after another split in the blockchain to create a new cryptocurrency called bitcoin gold.
Bitcoin price update: Bitcoin drops after splitting again to create bitcoin gold
Bitcoin hit a low of $5,374.60 today but has since recovered by more than $80. The fluctuation comes after the ‘hard fork’ and initial fall yesterday.
The collective behind the new cryptocurrency, bitcoin gold, came up with a code that creates a ‘fork’ or split in the bitcoin blockchain.
This fork occurred on October 24 and resulted in the creation of the bitcoin gold.
Bitcoin price update: Latest price chart for yesterday and today
The bitcoin community is also split over whether the fork will help or hinder the cryptocurrency.
Sol Lederer, blockchain director at Loomia, said: "These forks are very bad for bitcoin.
“Saturating the market with different versions of bitcoin is confusing to users, and discredits the claim that there are a limited number of bitcoins — since you can always fork it and double the supply.”
Bitcoin rises by 50% before falling after digital currency splits
But Bob Summerwill, chief blockchain developer at Sweetbridge, a company creating blockchain solutions, said the fork could be good for bitcoin.
He said: "If a crypto-community has irreconcilable differences, then you can go your separate ways and that is just fine.”
It is not the first time there has been a bitcoin fork. In July, the cryptocurrency underwent a similar split to create bitcoin cash.
A CNBC survey last week found that 49 percent of the 23,118 participants believed that bitcoin price was heading "above $10,000."