BitcoinPlus Price Surges 1000 Percent: Overrated New Kid on the Block?

It seems not too hard to say where would rest the rising price of BitcoinPlus, the biggest gaining alternative currency in the past 24 hours, according to CoinMarketCap.

It took the market by storm on Monday, March 27, rising from about $5 to $131 within a 12-hour period.

Though it has since corrected to about $40-50, its fast rise comes as Bitcoin price regained its position above $1,000 after dipping to its lowest almost since the year’s start.

BitcoinPlus’ inexplicable rise has hardly affected the Bitcoin price. Rather, other altcoins such as Ethereum, Ethereum Classic, Dash and Monero as well as several others took the fall as the new currency has managed to reach the top five in terms of 24-hour trade volume.

Bitcoin’s adoption continues to show signs of an increase, with LocalBitcoins’ global weekly volume hitting a new all-time high in the week ending March 25 at $32 mln.

Speculations abound

Slightly behind BitcoinPlus is BitcoinDark. They both moved at a very fast and questionable pace, raising questions among some cryptocurrency enthusiasts on few forums on how to lay hands on a few coins especially for trading purposes.

At some point, BitcoinPlus lost about 40 percent of its value in just a minute, a situation that could sometimes be linked to a single investor buying a huge chunk of the currency and selling everything at once.

With its limited supply - currently there are around 94,000 coins in circulation - and few people still into it, the lower supply to demand ratio could work both ways.

It could rise in price to pass Bitcoin as the supply is relatively small, provided demand increases. On the other hand, the low supply could make the price decrease quickly with just a few sales and not much buyers.

On which side it will end would be determined by the ability of BitcoinPlus, which uses the TOR Network to keep users’ IP address hidden at all times, to hold its grip on its market and not fade away in a similar fashion as it rose.

Bitcoin Plus - XBC is a hybrid Proof of Stake (POS) and Proof of Work (POW) coin - meaning that things can be moved along manually by switching on Proof Of Work for a short period if the network ever has an issue. The code behind the coin is described as fully open source and its inflation fixed at 20 percent per year. The expected maximum total coins are capped at one mln.