Bitcoin Cash and Bitcoin SV, two forks of the original Bitcoin network, posted sharp gains this week as traders rotated into the alternative tokens. Bitcoin Cash jumped as much as 30% following an announcement from CME Group, while Bitcoin SV climbed roughly 20% in sympathy. Bitcoin itself pulled back Wednesday, sliding toward $84,000 after touching a seven-month high near $87,250 earlier in the week.
CME Group said Monday it will launch Bitcoin Cash futures on October 19, pending regulatory review. The contracts mark Bitcoin Cash as CME's tenth single-asset crypto contract, with Uniswap as the eleventh. Standard contracts will represent 250 BCH, with micro versions covering 25 BCH for smaller traders. CME's global head of cryptocurrency products, Giovanni Vicioso, said the contracts provide institutions "broader, regulated tools to navigate evolving digital asset related price risk."
Bitcoin Cash jumped as much as 30% in the hours after the CME announcement, briefly touching $358. Grayscale added to the momentum by filing to convert its Bitcoin Cash Trust into a spot ETF for NYSE Arca listing. The combined news pushed Bitcoin Cash's weekly gain past 50%.
Bitcoin SV, which split from Bitcoin Cash during the "Hash War" in 2018, extended its climb toward $21, marking an annual high. Open interest in BSV derivatives climbed alongside the price, indicating traders were adding fresh positions.
Bitcoin Cash split from Bitcoin's main chain in August 2017 over a dispute about block size, positioning itself for cheaper, faster payments. Bitcoin SV later split from Bitcoin Cash when a faction pushed for even bigger blocks and a return to Bitcoin's original design.
The rally follows a familiar pattern: Bitcoin's forks tend to post sharp, short-term gains before retreating, as their smaller market capitalizations make prices easier to move. Meanwhile, spot Bitcoin ETFs pulled in $715 million on Tuesday, a solid inflow day even as Bitcoin's price stalled.
