Bitcoin trading fees will drop to $146 post-halving

Following the dramatic surge, Bitcoin transaction fees have dropped significantly, putting consumers at levels that are a relief.

Last week, the network saw its fees rise to unprecedented levels, with medium priority transactions reaching more than $146, and high priority transactions reaching $170. However, recent data indicate a sharp decline.

Bitcoin transaction fees normalize post-halving

The Bitcoin mempool, which contains all valid transactions awaiting network verification, currently lists transaction fees at $10.85 and $11.32 for medium and high priority transactions.

This offer comes after much discussion of Bitcoin, which typically affects both transaction fees and mining revenue. The halving reduced the reward by issuing new blocks, which in theory could increase transaction fees due to the reduced supply of new BTC.

Despite these predictions, the payments are normal, much lower than the maximum.

Read more: What Happened in the Last Half of Bitcoin? Predictions for 2024

The potential revenue per hash for miners is also decreasing. From a pre-half high of $182.98 per hash/day, it is now at $76.68. This suggests that the impact of the halving may be less than expected, at least in the short term.

“While historical data has been useful in guiding market analysis around previous halvings, the more valuable metric this time around is Bitcoin ETF earnings. The volume of mining sales is a drop in the bucket compared to the demand we've seen for Bitcoin this year, much of it fueled by institutions,” Kronos said. Labs managing director Ken Timsitt told BeinCrypto.

Amidst these economic changes, Bitcoin has remained relatively stable in market value, currently trading above $66,000.

The introduction of the Runes protocol aims to reduce revenue losses by increasing Bitcoin's on-chain activity in conjunction with the reduction. Lucas Outumuro, head of research at IntoTheBlock, has labeled such an increase as “absolutely insane,” resulting in more than $100 million in Bitcoin mining revenue.

Despite initial promises, these collections have not replaced lost revenue as effectively as expected. Still, Outumuro believes the real test lies in sustainability and the ability to maintain the initial momentum.