How do Bitcoin forks influence BTC price?

Bitcoin forks—whether soft or hard—can have a significant impact on the btc price. A fork happens when developers or the community decide to change the underlying code of Bitcoin. This can result in a split, creating a new version of the currency. For example, Bitcoin Cash (BCH) was a hard fork of Bitcoin. Forks can create uncertainty or excitement in the market. Investors may sell BTC to buy into the new forked coin or vice versa, causing price fluctuations. Sometimes, holders receive “free” coins from the new chain, which can also influence trading behavior. While some forks aim to improve Bitcoin’s scalability or functionality, others create confusion or division. The anticipation of a fork often leads to increased volatility and trading volume. For traders and investors, it’s crucial to follow fork announcements and observe their effect on the real-time btc price via platforms like Toobit.