Is The BSV Network Empty?
Data on CoinMarketCap shows that the Bitcoin Satoshi Vision (BSV) is still sitting comfortably within the top ten largest coins at the eighth position and with a market cap of $4.22 billion.
All the bad press and legal troubles being faced by its creator, Dr. Craig Wright, is probably not affecting the coin the slightest bit. However, according to a recent tweet from a Toronto based investor, Kevin Rooke, the BSV network is reportedly a “ghost town”.
His tweet said:
86.4% of all Bitcoin SV volume yesterday came from 100 transactions. The BSV network is a total ghost town.
Despite that, network value is now $4.5 billion, up 300% in the last 45 days.
Totally insane. pic.twitter.com/5xS2qvNsJc
— Kevin Rooke (@kerooke) June 23, 2019
This would mean that there isn’t a lot of traffic on the network and could also mean that a few exchanges or whales are just moving the same funds around, giving the impression that the network is still alive as well as robust.
In comparison with other assets within the same period, the second coin with the largest transaction volume derived from its top 100 largest is Litecoin which was still less than 40%.
However, it’s important to note a different angle as seen by one of the replies to the tweet.
According to XRP_Tooch (@nksantucci), the above pronouncement is a gross misrepresentation because it was concluded without any more data. Basically, a 24-hour report might be enough.
What Does This Really Mean?
It could mean a lot or not mean much at all. In the grand scheme of things, the fact that the major whales or exchanges are responsible for a large percentage of a coin’s trades might not necessarily be a bad thing except a pattern is formed.
In the past, the value of Bitcoin could sometimes be shaken if a few whales decided to move the market. In fact, analysts have said that whale movements (among other things) were responsible for some of the Bitcoin price spikes we have seen previously.
On the other hand, if this is a regular pattern, then it could mean the volume is superficial and might not hold for very long.