Bitcoin fees are starting to decouple from previous activity levels!
If you have only been watching Bitcoin's price, you haven't been paying attention.
The average number of transactions per block are now back to levels not seen since January of 2018.
Not only that, but with the increased activity the average transaction fees are near all time lows!
Don't believe me?
Check this out:
(Source: https://twitter.com/CryptoBTC_Chris/status/1093564252630208512)
The last time we were near these levels of activity we had much higher fees on bitcoin.
A big reason for the much lower fees now likely has to do with SegWit being widely adopted.
If we were to see a big explosion in price and activity again, fees will go up, but they won't go back to where they were back at the end of 2017.
Most skeptics haven't caught on to this yet.
Stay informed my friends.
Follow me: @jrcornel
Maybe the next time we get even more activity it will be even cheaper it is. I'm not 100% familiar with the lighting network, but isn't that the next step to lowering prices even more?
It will make micro transactions very cheap to execute, something that was not possible previously.
Great point. Thanks for the info!
My estimate is that it will probably take bitcoin price of about $80,000 to bring the same fees and network congestion we saw back in late 2017.
Could be. I haven't made any charts to get an estimate myself but that sounds logical to me.
👍👍👍
Nice!
Yep. One of the few bright spots.
It feels good lately, people are getting tired of waiting for gains so it feels like more actual usage and innovation is taking place.... A lot of The fakers have moved on
Very true. Developers stopped watching prices and got back to building. Which is better for everyone in the long run probably.
I remember paying like $30 a transaction in the bull run of December 2017 😂
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Yea, it was pretty bad. I think I remember seeing like $60 at the peak.
Segwit was a majot upgrade! Interestinf to see how Litecoin was first just like in the Lightning Network as well. If we think of it, MimbleWimnle may be the next step and Litecoin Foundation just announced they are looking into it!
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Interestingly enough, litecoin is leading the rally today as well.