Blockchain development firm Nchain has announced the company’s plans to launch a new Bitcoin Cash full node client called ‘Bitcoin SV.’ Lead developer Daniel Connolly has published the specifications for re-enabling old opcodes for the November 2018 BCH upgrade. So far the unpublished codebase has seen vocal support from the mining pool Coingeek, but right now some members of the BCH community are concerned that if no other miners switch to Bitcoin SV, the proposed upgrade could cause incompatibilities.
Also read: Fivebucks.com: Meet the Freelancer’s Marketplace Powered by Bitcoin Cash
Will Bitcoin SV’s Proposal be Compatible With Bitcoin ABC?
On Thursday, August 16 the firm Nchain revealed they are releasing a new BCH full node client that’s claimed to be based on Bitcoin ABC v0.17.2, but with a few different upgrade changes added. Bitcoin SV will include restoring more Satoshi opcodes, removing the opcode per script limit, and raising the block size to 128MB. Further, the leading BCH mining pool Coingeek have stated they will be backing the new client. However, since this announcement, some BCH supporters are concerned about the upgrade coming this November. Issues could occur if groups of miners choose Bitcoin SV’s finalized consensus change proposals, which could be entirely different than the finalized Bitcoin ABC 0.18.0 version. Moreover, depending on the upgrade releases stemming from Bitcoin Unlimited, and other implementations, the Bitcoin SV client could be incompatible with any one of them.
So far the Bitcoin ABC team hasn’t responded to the latest Nchain announcement, and the ABC client release for testing hasn’t arrived. According to the ABC roadmap, after they announced the client’s upgrade changes the codebase was supposed to be delivered by August 15. Instead, the team published an article on the benefits of canonical transaction ordering with help from articles written by the Bitcoin Cash miner Jonathan Toomim, and Joannes Vermorel’s study on the process. So at the time of writing the latest 0.18.0 Bitcoin ABC version is two days late. Furthermore, if v0.18.0 contains canonical transaction ordering, the enforcement of minimum transaction size, and the activation of OP_CHECKDATASIG and OP_CHECKDATASIGVERIFY, it will not be compatible with SV’s framework for November.
Bitcoin SV’s Lead Developer Publishes Re-Enabling Old Opcode Specs
The Bitcoin SV client’s lead developer, Daniel Connolly, has published a document of specifications concerning the SV clients’ re-enabling old opcodes. The Bitcoin SV version 1.0 document details that in May of 2018 a few disabled opcodes were re-added to the Bitcoin Cash scripting engine, and this November SV will introduce four more opcodes.
“The scope of that change was limited in order to focus developer attention rather than attempting to reintroduce all of the disabled opcodes at once,” explains the Bitcoin SV spec sheet published on August 17.
This specification expands upon that change by reintroducing additional opcodes — The specifications describe the opcodes that will be added in the November 2018 protocol upgrade.
The re-enabled opcodes will include:
- OP_MUL — Multiplies two numbers
- OP_RSHIFT — Right shift b by n bits
- OP_LSHIFT — Left shift b by n bits
- OP_INVERT — Bitwise NOT
The Ultimate Decision Will Be Made With Hashpower
Essentially the ultimate decision making will be in the hands of the miners if they want to upgrade the block space to 128MB, or follow through with ABC’s plans. At the moment there are many different takes on this situation from a wide variety of BCH supporters. Some agree with Coingeek and Nchain and want to raise the space available in blocks, while others believe there isn’t a need for the increase, because current 32MB blocks are not yet being filled. Discussions concerning the matter have increased exponentially on BCH-centric Slack and Telegram channels, Twitter, and Reddit forums.
A lot of BCH supporters believe that ultimately those who have hash power will have the final say in this debate and miners will choose which client they plan to use. Some BCH proponents are not too concerned with the possibility of incompatible clients just yet, because as far as ABC v0.18.0 and SV 1.0 are concerned, neither client has finalized plans for November’s upgrade. As mentioned above the ABC code is not ready yet and the SV 1.0 codebase plans to launch this September.
News.Bitcoin.com briefly spoke with Bitcoin XT developer Tom Harding about the recent Nchain announcement and he explained the XT client will follow the majority hashrate.
“XT hasn’t been a driving force behind any of the forking change proposals this time around — We’ve been focusing on non-consensus 0-conf work,” Harding explains.
Regarding consensus changes, our intention is to support what the majority of hashpower wants to do — We’re also thinking about how best to know what BCH miners actually want.
What do you think about the Bitcoin SV client and the possibility of it being incompatible with Bitcoin ABC’s November upgrade? Which upgrade proposals would you like to see finalized? Let us know your opinion on this subject in the comment section below.
Was November the Last Big Bitcoin Sell-Off? Trader Expects Slow Grind in 2019
By CCN.com: According to a trader and crypto technical analyst, November 2018 may have been the last sell-off of Bitcoin and a long consolidation period is expected throughout 2019.
Since experiencing a steep 13 percent drop on January 10 from $4,036 to $3,502, the Bitcoin price has been relatively stable in a tight range in mid-$3,000.
What Does Low Volatility Mean For Bitcoin?
While it seems as if the price of Bitcoin has been volatile throughout the past two weeks, the volatility of the dominant cryptocurrency occurred in a tight range between $3,500 to $4,000.
No major movements below or above key support and resistance levels were recorded, preventing any meaningful short-term price movement.
One trader said that if the trend of relatively low volatility in a tight low price range continues, the sideways action of Bitcoin will extend throughout the year, resulting in a long consolidation period.
“The longer this sideways action takes place the more I think the bottom is in. November was one of the worst monthly candles in history. It’s very possible that was the last of the major selling and now we’ll have a consolidation period that lasts most of 2019,” the trader said.
On Sunday, Bitcoin recorded a six percent drop against the U.S. dollar in a 24-hour period from $3,700 to $3,470. The asset has since recovered above the $3,500 mark and based on the performance of the asset in the last 48 hours, Bitcoin is expected to demonstrate stability throughout the week.
Hsaka, a cryptocurrency analyst, said:
Inside Bar; Low that was taken out (3480) holding as support; Continue leaning neutral here, can’t short HTF support, will wait for a break (even moreso when confluent with that CME gap).
A slow grind upwards in the first two quarters of 2019 could allow Bitcoin to establish a proper bottom and a mid-term trend reversal. If the price of asset recovers quickly in a short time period, as seen in the major sell-off of cryptocurrencies in November 2018, it can leave the asset class vulnerable to a large short-term correction.
With events that are considered as catalysts to fuel the momentum of Bitcoin in the first two quarters of this year including Bakkt and Bitcoin exchange-traded fund (ETF) far from being materialized due to the shutdown of the U.S. government, it has become more likely for the cryptocurrency market to demonstrate a low level of volatility in the upcoming months.
How About Alternative Crypto Assets?
Historically, alternative crypto assets, especially low market cap cryptocurrencies, have tended to perform strongly against Bitcoin when the asset is in a sideways market.
However, as seen in the performance of tokens and other major crypto assets in the past 48 hours, the stability in Bitcoin is unlikely to trigger short-term rallies for assets with lower volumes and valuations due to the current conditions of the market.
Some analysts believe November to have been the last sell-off for Bitcoin and expect a several-month-long consolidation period to occur.
Dow Futures Prep for Opening Bell Plunge as Bitcoin Price Turns Volatile
By CCN.com: The US stock market returns to action this morning following Monday’s holiday break, and the Dow is gearing up for a triple-digit loss at the opening bell. The bitcoin price, meanwhile, experienced a jolt of volatility ahead of the US trading session to break out of what had previously been a relatively calm day for the cryptocurrency market.
Dow Futures See Triple-Digit Pullback
As of 8:29 am ET, Dow Jones Industrial Average futures had declined by 144 points or 0.58 percent, implying an opening-bell loss of 135.35 points. The broad S&P 500 and tech-heavy Nasdaq also steeled themselves for losses at the open, with futures for the two indices down 0.60 percent and 0.68 percent, respectively.
With the US stock market closed on Monday in observance of Martin Luther King Jr. Day, futures trading had nevertheless portended Tuesday declines. As CCN reported, China published its official GDP growth statistics for 2018, which showed that the world’s second-largest economy had expanded at its slowest pace in 28 years.
China posts slowest economic numbers since 1990 due to U.S. trade tensions and new policies. Makes so much sense for China to finally do a Real Deal, and stop playing around!
— Donald J. Trump (@realDonaldTrump) January 21, 2019
That data emboldened US President Donald Trump, who implored China to “stop playing around” and “finally do a Real Deal” that would end the ongoing US-China trade war.
“China posts slowest economic numbers since 1990 due to U.S. trade tensions and new policies,” the president tweeted on Tuesday. “Makes so much sense for China to finally do a Real Deal, and stop playing around!”
Hu Xijin, the editor of the China-based Global Times, responded to that tweet with a warning that Beijing won’t sign an “unequal deal,” even if the country experienced negative economic growth.
China has hoped to reach a reasonable trade deal with the US. When China's GDP grew at double digit rate, we wished China-US relations go well. But if the US forces China to sign an unequal deal, Beijing won 't yield even it is a negative growth, let alone 6.6%. https://t.co/ZxVMxMheSi
— Hu Xijin 胡锡进 (@HuXijin_GT) January 22, 2019
“China has hoped to reach a reasonable trade deal with the US. When China’s GDP grew at double digit rate, we wished China-US relations go well. But if the US forces China to sign an unequal deal, Beijing won ‘t yield even it is a negative growth, let alone 6.6%.”
Meanwhile, the March 1 end to the US-China tariff truce continues to inch closer, placing more pressure on the two economic superpowers to find common ground.
Bitcoin Price Turns Volatile on Tuesday
Though not on a holiday itself, the cryptocurrency market had been relatively calm on Monday following Sunday’s moderate pullback. This morning, though, bitcoin and its would-be peers have begun to regain a bit of their characteristic volatility.
After range-trading between $3,550 and $3,500 for most of the day, the bitcoin price took a sudden drop shortly before 11:40 UTC, slipping as low as $3,401 before recovering above $3,520 in a whipsaw movement that took less than five minutes. As of the time of writing, the bitcoin price sat at $3,557 on Bitstamp, about $33 below its intraday high of $3,590.
Day-over-day movements were relatively muted throughout the wider cryptocurrency market. The ripple price (XRP) declined by 1.22 percent to a global average of $0.317, while ethereum, bitcoin cash, EOS, litecoin, and bitcoin sv all moved by less than 1 percent. Stellar, whose price often moves in tandem with ripple, declined 1.33 percent to $0.102, and tron outperformed the index with a 4.51 percent jump to $0.026 that was likely connected to the announcement that TRX holders would earn an airdrop when the new BitTorrent cryptocurrency arrives.
Altogether, the cryptocurrency market cap — which measures the aggregate valuations of all cryptocurrencies — stands at $119.7 billion, representing a 24-hour increase of around $100 million.
Crypto Could Still Be ‘Global Currency of Future’: Nasdaq CEO
By CCN.com: On route to Davos, Nasdaq CEO Adena Friedman says 2019 will be a year of disruption and innovation. Cryptocurrencies could still be a global currency if the “tremendous demonstration of genius and creativity” finds practical utility.
Pioneering, Followed by a Dose of Reality
Friedman, like others, believes the cryptocurrency space has gone through the first stage of the “classic invention lifecycle” this is:
“Marked by early pioneers, followed by hype, followed by proliferation of newcomers and then a dose of reality.”
For many, that dose of reality is a real hard hitter. Over $400 billion has been wiped off the market capitalization of cryptocurrencies. Bitcoin’s price has fallen from highs of $19,000 to lows of $3,200. Early investors may still be in profit, for those who joined the market on its way up, they are sure feeling the downside.
I’m at #WEF2019 and looking forward to the many discussions this week. This year I’ve taken some time to write about my thoughts on the market developments I’m watching in 2019 #Davos2019 @wef https://t.co/M7dhke2UoN pic.twitter.com/0Wp8EGKErD
— Adena Friedman (@adenatfriedman) January 20, 2019
Cryptocurrencies Could be the Internet or Segway
The Nasdaq CEO says one of two things will happen next. Firstly, like the internet:
“The innovation finds practical utility followed by years of steady and sustainable commercial progress and integration into the economic fabric.”
Or secondly like the Segway:
“The invention fails to achieve broad adoption and its commercial applications as medium of exchange are limited.”
It’s tough seeing an industry with billions in investment, tens of thousands of credible startups, and stalwart progress towards adoption, compared to a not so successful “personal transportation device.” Even if the Segway was a precursor to technology like the hoverboard.
Nasdaq Works to Gain Investors Trust in Cryptocurrency
“It is difficult to ignore the huge amount that investors, including some of the most sophisticated global investors, have poured into digital currencies in recent years.”
Adding that such a genius invention “deserves an opportunity to find a sustainable future in our economy.”
That, she says, will depend on governance and regulatory clarity both “antithetical” to a “decentralized, ungovernable” currency.
— Adena Friedman (@adenatfriedman) December 10, 2018
For Nasdaq, says Friedman, its about gaining investors trust in cryptocurrency by implementing its trade technology and integrity. The Winklevoss twin’s Gemini exchange uses Nasdaq’s software. Nasdaq has also contributed to Singapore’s efforts to settle tokenized assets and invested in the Wall Street ErisX crypto-exchange. It has also partnered with VanEck to roll out bitcoin futures trading in early 2019.
I don’t say this to dishearten us. Quite the opposite.
There is so much left to build and promise to be realized, which is massively exciting! pic.twitter.com/9pfy5MmJ1k
— Chris Burniske (@cburniske) January 5, 2019
Venture capitalist Chris Burniske too believes cryptocurrency is going through a normal phase of market development. He says crypto is still at the “installation phase” also comparable to the internet, and even Amazon’s rise to success.