The Broad View
The cryptocurrency market is undergoing a dramatic realignment on November 9, 2017, as the fallout from the cancelled SegWit2x hard fork sends capital flooding across the digital asset landscape. Bitcoin, which briefly touched an all-time high of $7,899 on November 8 following the cancellation announcement, has reversed sharply, trading down 4.47% at $6,812 by Friday morning EST. The slide extended to an intraday low of $6,707, erasing nearly $1,100 in value within 24 hours. But the real story is not Bitcoin’s pullback — it is the explosive rotation into Bitcoin Cash, which has surged more than 30% to a record high near $890.
This divergence marks one of the most pronounced instances of intra-crypto capital rotation in 2017. The combined cryptocurrency market capitalization remains above $210 billion, but the composition of that value is shifting rapidly. Bitcoin’s dominance has dipped as altcoins and Bitcoin Cash absorb displaced capital, a dynamic that underscores the evolving maturity of the broader crypto market.
Key Support/Resistance
Bitcoin’s price action presents a complex technical picture. The $7,900 level now serves as a key resistance ceiling, established during the brief post-cancellation rally. On the downside, the $6,700 zone has emerged as critical support, tested during Friday’s flash crash. The $7,200-$7,300 range, where Bitcoin spent much of Thursday stabilizing, represents the pivot point between bullish and bearish momentum.
For Bitcoin Cash, the technical picture is unambiguously bullish. The cryptocurrency has broken through successive resistance levels with remarkable speed, moving from below $600 to nearly $890 in approximately 48 hours. The $1,000 psychological barrier now looms as the next significant resistance level, and given the velocity of the current move, a test of that level appears increasingly likely.
Ethereum, meanwhile, has been trading in a range between $307 and $329 on November 9, reflecting relative stability compared to the Bitcoin pair. ETH appears to be benefiting from the broader rotation out of Bitcoin, though the magnitude of its gains has been more measured than Bitcoin Cash.
Institutional Flows
The institutional dimension of this market rotation is particularly noteworthy. Grayscale Investments, a subsidiary of Digital Currency Group, announced the launch of the Zcash Investment Trust on November 9, further expanding the avenues for institutional exposure to cryptocurrencies beyond Bitcoin and Ethereum. The new trust allows accredited investors to gain exposure to Zcash (ZEC) through a traditional investment vehicle, signaling growing institutional appetite for a diversified crypto portfolio.
The Grayscale launch coincides with accelerating institutional interest in Bitcoin derivatives. Two major exchange operators — CME Group and CBOE — have announced plans to launch Bitcoin futures in the near term, a development that Bank of America Merrill Lynch highlighted in a client note. The bank suggested that futures could reduce volatility over time by enabling a broader community of speculators to provide liquidity, potentially creating a more mature trading infrastructure.
Ned Scott, CEO of Steemit, captured the institutional sentiment in a statement to Business Insider: “When 2x was called off, it became immediately clear there’s greater consensus for a single bitcoin blockchain and therefore there is greater value retained in the bitcoin ecosystem. The case was made by the immediate price increase when 2x was called off.” This view — that the cancellation is net positive for Bitcoin’s long-term value proposition — is gaining traction among institutional allocators.
Sentiment Indicators
Market sentiment presents a fascinating duality. On one hand, Bitcoin proponents view the SegWit2x cancellation as a vindication of the network’s governance resilience. The fact that a hard fork backed by 95% of hash rate at inception could be defeated by community opposition is seen as evidence that Bitcoin remains genuinely decentralized. On the other hand, the price decline and the Bitcoin Cash surge reflect legitimate concerns about scalability and the ongoing block size debate.
The Reddit community on r/CryptoCurrency and r/Bitcoin is heavily active, with daily discussion threads on November 9 generating thousands of comments. The prevailing sentiment among Bitcoin maximalists is cautiously optimistic — the fork threat is removed, but the underlying scaling challenges persist. Altcoin enthusiasts, meanwhile, are energized by the capital rotation, with many predicting that the post-SegWit2x landscape will favor a more diverse crypto ecosystem.
Google Trends data for “Bitcoin” search queries continues to climb, with the current trajectory suggesting that mainstream interest is approaching levels not seen since the initial 2013 price surge. This organic interest growth, combined with the institutional infrastructure being built, suggests that the current market cycle has broader foundations than previous rallies.
The Bull/Bear Case
The bull case rests on several converging catalysts. The removal of the SegWit2x overhang eliminates months of uncertainty, allowing developers and businesses to focus on second-layer scaling solutions like the Lightning Network. The institutional pipeline — futures, potential ETFs, and vehicles like Grayscale’s trusts — is expanding rapidly. Bitcoin’s fundamental adoption metrics continue to improve, with transaction volumes and wallet growth both trending upward. Michael Patryn, founder of Canada’s Fintech Ventures Group, suggests that while retail capital may temporarily leave Bitcoin for altcoins, the long-term impact of the cancellation is positive.
The bear case centers on the reality that the scaling debate is far from resolved. Bitcoin’s transaction throughput remains constrained, and network congestion during peak periods continues to drive fees higher. The hash rate migration toward Bitcoin Cash introduces a new vector of risk — if a sufficient portion of the network’s computational power shifts to Bitcoin Cash, it could slow Bitcoin block times and further increase transaction costs. The $6,700 level, if breached convincingly, could trigger a cascade of stop-loss orders, potentially sending Bitcoin back toward the $5,800-$6,000 support zone.
The most likely near-term scenario is continued volatility within the $6,700-$7,900 range as the market digests the implications of the SegWit2x cancellation. Capital flows between Bitcoin, Bitcoin Cash, and major altcoins will likely remain elevated for the coming weeks as miners, traders, and investors reposition their portfolios for a post-SegWit2x landscape.
What is clear is that the cryptocurrency market of November 2017 is fundamentally different from what it was just a week ago. The cancelled hard fork has accelerated the maturation of crypto as an asset class, forcing participants to grapple with governance, scalability, and diversification in ways that will shape the market for months to come.
Disclaimer
This article is for informational purposes only and does not constitute financial advice. Cryptocurrency investments carry significant risk, and past performance is not indicative of future results. Always conduct your own research before making investment decisions.
the BCH jump from 300 to 890 in days was wild. remember checking coinmarketcap every 5 minutes thinking the data was broken
checking coinmarketcap every 5 minutes lol. we all did. blockfolio notifications were nonstop that week
BCH going 300 to 890 in days was pure momentum. everyone who missed BTC run rotated into the fork looking for the next 10x
everyone who missed the BTC rally piled into BCH thinking it was the next 10x. most of them got wrecked within a month
Mira J. BCH from 300 to 890 then back to 600 within weeks. classic blow off top. everyone who bought the peak learned an expensive lesson about fork rotations
segwit2x cancellation was the best thing that happened to BCH. all that big block energy had nowhere else to go
segwit2x dying concentrated all big block energy into one asset. BCH was the only escape valve and the market repriced that instantly
the segwit2x cancellation was the trigger for the entire BCH pump. without that fork failure BCH doesnt exist as a top 5 coin
segwit2x_body without the cancellation BCH doesnt pump like that. the fork failure was the catalyst. funny how the biggest BCH bull run came from BTC drama not BCH fundamentals
segwit2x dying was the catalyst. all the big block capital had to go somewhere and BCH was the only game in town
6,812 BTC after touching 7,899 was a brutal reversal. that 1,100 drop in 24 hours felt apocalyptic at the time
that 1100 drop in 24 hours was scary but BCH at 890 felt like a new era. crypto was so different in 2017, everything felt possible
BCH at 890 for about 36 hours before the crash back to 600. anyone who didn’t take profits on the spike got wrecked
BTC dropping $1,100 in 24 hours while BCH did a 3x. capital rotation at its most violent
fork_surgeon_ BTC dropping 1100 in a day while BCH 3x-ed. i was there, everyone on twitter was screaming flippening. good times
BCH at 890 feels like a fever dream now. roger ver going on cnbc calling it the real bitcoin aged like milk
sat__shrimp roger ver on cnbc calling BCH the real bitcoin while it was at 890. peak crypto delusion. that segment aged like milk left in the sun
nocturnal_rsi roger ver on CNBC at the top calling BCH the real bitcoin. that clip is immortalized in crypto history as the ultimate sell signal
sat__shrimp Roger Ver going on CNBC calling BCH the real bitcoin at 890 is still one of the most viral sell signals in crypto history. right behind Do Kwon on TV saying depeg is unlikely
blockfolio was glitching every refresh that week. every alt was pumping 50%+ and we all thought we were geniuses
Jakob W. blockfolio crashing every 30 seconds because every alt was pumping 50%. we really thought we were all geniuses for buying random forks
Jakob W. blockfolio glitching every refresh lol. that week every alt was pumping 50% and the flippening crowd was insufferable on twitter
BCH hitting $890 during the segwit2x chaos was the ultimate spite rally. people were genuinely convinced roger ver was going to flip bitcoin. 9 years later BCH is down 85 pct from that peak
fork_skeptic_ 890 to down 85% in years. the spite rally was incredible and the aftermath was brutal. everyone who held from the top learned what fork rotation really means
the $1100 drop from $7899 to $6707 in 24 hours and everyone just shrugged. 2027 crypto volatility feels tame compared to those days. a 14 pct BTC dump now would liquidate half of CT
Mirek D. a 14% BTC dump today would liquidate most of the leverage stack in hours. in 2017 it was just a normal Tuesday. volatility was insane back then