The daily transactions of Bitcoin have recently reached their highest level since the middle of January this year. The biggest digital currency based on market cap continues to be trodding through a bear market with some prolonged periods of sideways trading.
According to recent reports, the current Bitcoin average daily transactions stands at around the 300,000 region. This figure represents a ten-month high and a continuous increase over the last seven months.
Following its peak at the end of last December's bull run when Bitcoin touched the $20,000 mark there were about half a million transactions on a daily basis. The onset of the bear market brought levels down to 135,000 in April this year. Since this time, the daily transactions were getting ready to increase and almost double to its current level.
For a comparison, the current average daily transaction level of Bitcoin is only nine thousand lower than was a year ago. If this trend is anything to go off then more transactions are very well on the table.
A lot of this has to do with the emergence of off-chain and SegWit protocol such as Lightning. During the highs of daily transactions of last, the fees also saw highs with $50 being its peak and many asking the question that the ability of the network could ever handle a large scale transaction volume.
Despite this, with new protocols like the Lightning network and SegWit, a big climb in transactions isn’t adding up with the increase in fees.
With all this in mind, the bear market for Bitcoin is still continuing. Even though the leading cryptocurrency briefly jumped up to $7,300 at the start of September, the top-ranked digital currency has stayed below the $6,500 range and is currently priced at $6,237 at the current time of writing.
As reported by Live Bitcoin News:
“With prolonged tight range-bound trading, BTC’s volatility dropped to its lowest level since 2016. Commentators like Arthur Hayes, the BitMEX CEO, say that the current bear market will persist for the next 12 to 18 months.”
The continuous sideways trading has seen some people putting their bullish predictions on the shelf whereas others seem to be unaffected by the news and still have hope that the leading crypto to surge once more.
What do you think the daily transactions will mean for the future of Bitcoin? Let us know what you think in the comments down below!