bitcoin fight Fight fight Fight! Here is why bitcoin has become much more docile lately. Now that everyone is aware of bitcoin and knows it has increased in value A LOT, people are now probably wondering why it is acting........stable. Well here's why. There are two factions (miners) arguing about the future direction of the cryptocurrency. One side......wants more of a store of value (like gold). Other side..........more transaction friendly (like a currency). Who will win? We will find out August 1st (or so). Result? Maybe a bitcoin "split". Here's a good read.

(Bill Taylor/CEO)

"It’s time for bitcoin traders to batten down the hatches.

The notoriously volatile cryptocurrency, whose 150 percent surge this year has captivated everyone from Wall Street bankers to Chinese grandmothers, could be headed for one of its most turbulent stretches yet.

Blame the bitcoin civil war. After two years of largely behind-the-scenes bickering, rival factions of computer whizzes who play key roles in bitcoin’s upkeep are poised to adopt two competing software updates at the end of the month. That has raised the possibility that bitcoin will split in two, an unprecedented event that would send shockwaves through the $41 billion market.

While both sides have big incentives to reach a consensus, bitcoin’s lack of a central authority has made compromise difficult. Even professional traders who’ve followed the dispute’s twists and turns aren’t sure how it will all pan out. Their advice: brace for volatility and be ready to act fast once a clear outcome emerges

“It’s a high-stakes game of chicken,” said Arthur Hayes, a former market maker at Citigroup Inc. who now runs BitMEX, a bitcoin derivatives venue in Hong Kong. “If you’re a trader, there’s a lot of uncertainty as to what happens. Once there’s a definitive signal about what will be done, the price could move very quickly.”...

Bloomberg