Bitcoin Fork Will Reduce Price: What You Need to Know

　　The world of cryptocurrencies has been abuzz with discussions about the upcoming Bitcoin fork. Many investors and enthusiasts are concerned about the potential impact on the price of Bitcoin. In this article, we will delve into the reasons behind the Bitcoin fork and how it is expected to reduce the price of Bitcoin.

　　What is a Bitcoin Fork?

　　A Bitcoin fork is an event where the blockchain of a cryptocurrency splits into two separate chains. This usually happens when there is a disagreement among the network participants on how to update the protocol. The two resulting chains are known as the "old chain" and the "new chain."

　　The upcoming Bitcoin fork is known as Bitcoin Cash (BCH). It is expected to occur on November 15, 2018. The purpose of the fork is to increase the block size limit from 1 MB to 8 MB, which will allow for more transactions to be processed in a single block.

　　How Will the Bitcoin Fork Reduce the Price?

　　1. Increased Supply: One of the primary reasons why the Bitcoin fork is expected to reduce the price of Bitcoin is the increased supply. The Bitcoin Cash fork will create a new cryptocurrency, which will increase the total supply of Bitcoin in the market. As the supply of Bitcoin increases, its value is likely to decrease, leading to a potential price drop.

　　2. Market Speculation: The upcoming Bitcoin fork has led to a lot of speculation in the market. Many investors are uncertain about the future of Bitcoin and are likely to sell their holdings in anticipation of the fork. This selling pressure can lead to a decrease in the price of Bitcoin.

　　3. Divided Community: The Bitcoin fork has divided the community into two camps - those who support the fork and those who oppose it. This division can lead to uncertainty and volatility in the market, which can further contribute to a decrease in the price of Bitcoin.

　　4. Technical Issues: The Bitcoin fork may also lead to technical issues, such as network congestion and slower transaction speeds. These issues can deter new users from joining the network, which can lead to a decrease in demand and, consequently, a decrease in the price of Bitcoin.

　　What Should Investors Do?

　　Given the potential risks associated with the Bitcoin fork, investors should exercise caution and consider the following:

　　1. Diversify their portfolios: Investors should not put all their eggs in one basket. Diversifying their portfolios can help mitigate the risks associated with the Bitcoin fork.

　　2. Stay informed: It is crucial for investors to stay informed about the latest developments in the cryptocurrency market, including the upcoming Bitcoin fork.

　　3. Be prepared for volatility: The market is likely to experience volatility in the lead-up to and after the Bitcoin fork. Investors should be prepared for this and not panic-sell their holdings.

　　In conclusion, the upcoming Bitcoin fork is expected to reduce the price of Bitcoin due to increased supply, market speculation, divided community, and potential technical issues. Investors should exercise caution and stay informed about the latest developments in the market to mitigate the risks associated with the Bitcoin fork.

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