Bitcoin Fees Near Yearly Lows as Bitcoin Price Hits $70,000

Shipping cost Bitcoin It’s now the cheapest it’s been in almost a year — just as the price of the largest cryptocurrency approaches an all-time high.

Data from Bitinfocharts Offers The average transaction cost on the Bitcoin blockchain is $0.73. This is the lowest fee recorded since August 2023, when it briefly reached 64 cents.

when Decrypt I tried to send $10,000 in Bitcoin, and the proposed transaction fee was only $0.40 – about a hundred times cheaper than sending a wire transfer from the US to Europe. Via Wise.comFor example.

The decrease in transaction fees comes as Bitcoin price It falls to $68,000 per coin shortly after. Hit $70,000 At America’s largest digital asset exchange, Coinbase, earlier Monday.

Bitcoin transaction fees typically rise when the network is busy: When a lot of people are using the network, Bitcoin users have to compete with others to have their transactions processed by miners.

Miners, or operators of powerful computers that process transactions and mint new coins, can charge higher amounts to send payments quickly.

Last April, the cost of sending Bitcoin hit a record high of $128 per transaction, as the network became clogged with activity after Rune castinga new standard for creating tokens on the blockchain.

Bitcoin hit a new all-time high in March at nearly $74,000. It has struggled to stay above $70,000 since then.

but now Evidence suggests that An imminent Federal Reserve rate cut. The US central bank raised interest rates to their highest level in two decades in the wake of the Covid-19 pandemic to cool inflation.

When interest rates are high, investors tend to shy away from buying “risky assets” like cryptocurrencies.

Bitcoin’s recent comeback also comes on the back of Republican presidential candidate Donald Trump’s appearance at the Bitcoin 2024 conference in Nashville, where Pledge to create A national “strategic bitcoin stockpile” if elected.

Edited by Andrew Hayward