The fuss about forks often brings investors losses instead of profits
Recently appeared several resonant cryptocurrency forks have Zclassic, Ethereum Classic and litecoin. Each "newborn" coin has a common history with the parent chain. Many investors bought into the hope to receive dividends or simply did not want to miss the pump, which, as expected, was to raise prices. However, all three coins sank even before the fork.
The forks and the new coins remain in trend since then, in August of last year there was a Bitcoin Cash. This is not the first coin, which was the result of fork, but it was the most successful. After that, the developers conducted the forks of existing blockchains for different reasons. As the creators say forks, Litecoin replaces the Classic algorithm of mining directed acyclic graph; Callisto tries to run smart contracts, Ethereum superior reliability Classic; and has undergone Zclassic hybrid fork with bitcoin, creating a Bitcoin Private.
Course NEO at the time the distribution of tokens ONT
In addition to these forks, NEO recently released to all its users a new token ONT. Next week will be a fork of Monero, which will occur Monerov (XMV). To evaluate the success of these new phenomena too early, especially in the current market conditions. Anyway, Bitcoin Private is trading around $65, and the number of exchanges working with this token will increase, and Litecoin Classic is around $2,20 compared to a maximum of $5.
The rate of ZCL at the time the distribution of tokens BTCP
In anticipation of their forks Zclassic, Ethereum Classic and NEO behaved roughly the same pattern. Investors heavily invested in these coins, allowing each of them to take off an average of 10-20%; in the case of ZCL the figure above. Time will judge these coins, but the past shows that buy cryptocurrency preparing to fork, is still before the appearance of snapshots of the network.
In a matter of days until the picture appears network the coins were cheaper, and often much. March 9, it happened again — now with Monero. The coin showed good performance in previous weeks, braving the bearish market condition and increasing in value relative to bitcoin.
Rate ETC at the time of the fork Callisto
Then Bittrex has announced that it will not support a fork of Monero, explaining: "the Team XMV has not been addressed, and now we will not have time to conduct a thorough audit of the token until the fork 14 Mar". After this statement Monero dropped by approximately 15%, although the proportion Bittrex account for only 5% of the total trading volume of this currency. For investors who managed to buy such coins like Monero and ZCL, ahead of the masses, drop the fork does not matter. However, latecomers were faced with the problem, and they can only pray to get their money back.
The rate of XMR at the time of the announcement Bittrex and transfer the fork
Now, when Monero was down $100 a relatively high buying at the peak, investors are essentially betting on trading fork XMV $100 per coin. This would allow them to compensate for the loss. Such calculations seem to be too optimistic. It is not surprising that more wise investors either sell their coins ahead of the fork, or not even trying to make money on the pumping. As soon as the coins resulting from the fork, will be released on the stock exchange, most likely, they can be bought cheaper.
According to the website Bitcoin.com