- Growth in the number of transactions on the Bitcoin network continues.
- According to data, the daily transaction volume on the network reached a record level on May 12th.
Growth in the number of transactions on the Bitcoin (BTC) network continues, but there seems to be a decline in active users.
Growth Continues in Bitcoin, But Activity is Decreasing!
According to data tracking the 7-day moving average, despite the ongoing growth in the number of transactions on the Bitcoin network, the number of active addresses sending or receiving funds has fallen to its lowest level since July 2021.
This indicates that although each person using the network is making more transactions on average, fewer people are active on the network. Costs increase when more people use the network.
Data research analyst Rebecca Stevens said, “High fees are making people hesitant to transact,” and added that the hype around Ordinals and BRC-20 tokens has led to new ways for people to mint Ethereum-style fungible and non-fungible tokens. The Bitcoin network has caused an increase in overall activity and fees on the network in recent weeks.
Daily Transaction Volume on the Network Reached a Record High
According to data, the daily transaction volume on the network reached a record level on May 12th, just a few days after the total market value of new tokens created with the Ordinals protocol exceeded $900 million.
Stevens said, “I can see a world where the success of Ordinals and BRC-20 tokens drives away the haters,” and added that some users see these ideas as blockchain bloat. “Also, most of the people advocating for these innovations are likely Bitcoin OGs who are rich enough in Bitcoin to keep the excitement around Ordinals and BRC-20 going.”
According to data, the average transaction fee on the platform rose from around $2.50 12 months ago to $16.08 on May 11th.
Bitcoin price is currently trading at $27,013. Despite experiencing a rise on Monday, the Bitcoin price could not hold onto higher levels today and fell to $27,000.
