Crypto Investor Brian Kelly Takes Bullish Stance on Bitcoin Cash

A proposed BCH development fund could give the digital currency more value, says Kelly

by Deyana Laguna
23 May • 2 min
In News

Cryptocurrency investor Brian Kelly, the CEO and founder of digital currencies-focused investment firm BKCM LLC, said on Monday Bitcoin Cash (BCH) is the must-own digital currency of the moment.

On Saturday, BCH miners reportedly gathered to discuss funding for a BCH development fund. Miners are looking to allocate some part of the reward they receive from mining and invest it to expand the BCH ecosystem, Kelly revealed, speaking on CNBC’s “Fast Money” show.

According to the investor, the fund development could aid the rise of the cryptocurrency’s value: “That's how blockchains gain value. You're going to be getting more use cases to the extent that usefulness translates into value. That could be a positive for Bitcoin Cash.” Kelly further noted that the development fund reflects “centralization of the miners,” which Kelly admits bucks the trend for cryptocurrencies.

 

BCH Price Swings but Technicals Show Overall Positive Trend

Kelly presented in a digital chart BCH’s 6% rally over the last month has made it a leader among the top cryptocurrencies. “That’s a place I want to buy,” the investor concluded.

Kelly’s bullish outlook shined the spotlight back on Bitcoin Cash, which more than nine months after coming into existence in August 2017, is a Top 10 cryptocurrency by market value, currently holding the number four spot on Coins.Online.

BCH price has seen steady improvements since its inception, with a peak in early December to USD 3800. While it has dropped since then, it is currently trading at USD 1070, quickly recovering from a plunge to USD 763 in mid-April.

The outlook for the coin remains strong as a recent hard fork increased the block size from 8MB to 32MB, allowing a larger number of transactions per block and laying the groundwork for the network’s support of smart contracts through the partial utilization of BTC’s original “OP_RETURN”  function.