Bitcoin trade fees have continued to soar since this price of the world’s largest cryptocurrency rallies.
The typical Bitcoin trade fee was $6.5 on Thursday, latest statistics from Bitinfocharts series . Fees have taken up almost 7% in the last week—from $6.1 per trade to the present figure, the information metrics site states.
However in the last month, the amount is much more eye-watering: the normal price of sending Bitcoin was only $1 July 6—a 543% boost in per month.
The growth in price to ship Bitcoin is likely because of the asset’s surge in price along with the greater utilization of the system. The price of all Bitcoin now stands at $11,614. The value of this coin has continued to spike in among its own largest rallies in years later fighting to violate the $10,000 markers for such a long time.
Bitcoin’s realized price—that the aggregate value of this Bitcoin system calculated by multiplying every Bitcoin by the previous time it transferred —also struck on a brand new high of $6,000 weekly.
The growth from their price of the largest cryptocurrency by market cap is thought to be in part because of investors looking for alternative assets since the US dollar becomes less appealing due to its dip in value.
Sending Bitcoin was cheap once upon a time. In fact, just last year, on January 13, it was as low as 18 cents—when the price of the coin was $3,552. But as the network got busier (more people wanting to trade the coin as its price increased), the fees went through the roof.
When more people are sending Bitcoin, the cost of making a transaction normally goes up. This is because everyone wants their transaction to be processed as quickly as possible, so the network calculates that people are willing to pay a premium for miners to prioritize validating their transactions.
When the price of Bitcoin rocketed to an all-time high of nearly $20,000 December 2017, the average transaction had been a staggering $55.
The views and opinions expressed by this writer are for informational purposes only and don’t constitute financial, investment, or other information.