Data shows that recent sales have revived bitcoin blockchain activity after a period of silence.
Bitcoin returns to on-chain activity when sales continue
According to Arken Research’s latest weekly report, BTC transaction fees have risen 17% in the past week.
Over the past few months, Bitcoin on-chain activity has been quite low due to low mobility and low transaction fees.
“Transaction Fee” means that any investor has to be attached to the transaction to complete the transfer.
Miners receive this fee in exchange for conducting transactions. Generally, they prefer transactions with higher fees to maximize their revenue.
The value of the average bitcoin transaction fee varies because it depends on the specific network conditions at the time of transfer.
When the mempol is stuck due to the network due to monitoring a large number of transactions, the fee naturally increases.
This is because miners can only handle a limited number of transactions at a time and investors who do not want to wait simply attach a large fee.
Related Reading | Bitcoin Miner’s revenue is now 61% lower than last year’s average
The Bitcoin network has not been very busy in the last few months and so transaction fees have been at historically low levels.
Now, here’s a table showing how the Bitcoin mining-related metrics changed over the last week:
Looks like the average transaction value went up over 52% during the past seven days | Source: Arcane Research's The Weekly Update - Week 24, 2022
As you can see above, Bitcoin transaction fees have risen 17% in the last week as crypto prices have plummeted.
The daily fee now makes up 2.39% of the total BTC mining revenue, the highest price since July last year.
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The daily transaction currently sits at 252k, which is almost the same value as last week because this number is limited on the network.
Daily mining revenue itself has fallen sharply by 32% due to price crashes and increased mining difficulties.
However, things will improve soon for miners as the hashrate is off, which will reduce the inconvenience by 1.9%.
At the time of writing, the price of Bitcoin is about 20.1k, down 5% on the last seven days. Last month, crypto lost 31% of its value.
The price of the coin seems to have declined a bit over the past day | Source: BTCUSD on TradingView
Featured image from Dmitry Demidko on Unpslash.com, charts from TradingView.com, Arcane Research