Bitcoin: Transaction Fees

Hey everyone thanks for jumping back Into the cryptoverse today we're going To talk about Bitcoin and we're going to Be discussing transaction fees if you Guys like the content make sure you Subscribe to the channel give the video A thumbs up and check out the sale on Intothe cryptoverse premium at intothe Cryptoverse decom let's go ahead and Jump in so transaction fees are a useful Tool for understanding when there's a Lot of hype coming back into the Cryptoverse this chart shows the sum USD Value of all fees paid to mon miners Transaction validators stakers and or Block producers that day now one of the Interesting things about it is that you Can see that every time that this metric Has spiked it has corresponded to at Least a local top not necessarily a Major top that takes years to get past But it has sometimes if you look at 2017 You will see that it spiked after the High was in right so the high came in on December uh you know 17th or so and and Then um I believe the wick and then the Transaction fees topped out about 5 days Later and you can see that you know Anyone who happened to be using Transaction fees to sort of time their Their sell had they waited for you know A huge Spike that would have been Worthwhile now hindsight's 2020 it's not Like you would have known it was going

To go that High I mean if you were just Looking at this and you saw this Spike You would have all the reason to believe That you know that 17K or 16k was the Top and I mean had you sold Bitcoin at 16k in 2017 I don't really think you Would have been too upset about that you Know just 6 months later but it does go To show that like you know while these These on these metrics can be useful it Doesn't necessarily mean that it has to Be you know that day is the day that it Actually tops out and then you also have A spike here just after the high in April of 2021 right so you can see that There was a spike to around the same Level I mean not quite as high but but Um you know we did get a a fairly Massive spike in in in April April 20th And the high had come just a few days Before that right about four or five Days before kind of similar to 2017 in Fact and then what was interesting is is Just a few months ago we saw a spike and It was interesting because because of um You know normally we don't see that in In the in the prehab year right but with All the you know with all the uh Activity going on on on the on the Network um back then you can see that There was actually a spike of Transaction fees not to the same level Uh that it went to in in 2017 but it Actually did go to the same level a

Little bit higher than it did in 2021 And I put a video out on it back then And um it it was a it was a weird video Because it's like well you know Bitcoin's only at like 30k and we have You know transaction fee spiking but It's interesting because after that Spike occurred you the high was actually Already already in for that little move I mean again now today we're looking at At new yearly highs so it's not like This corresponded to a major top in any Way but it did you know it did Correspond to at least a local top that Lasted for for a few months the reason I Bring this up is because you can see That transaction fees are started they Started to spike again now they're There're still nowhere near uh at the Time of this video which is being Recorded on November 12th but by the Time you see it it'll probably be s days Later because I'm going out of town and Um I just decided to make a few extra Videos to publish while I'm out of town But you can see that Bitcoin hit a high Of 37k um 37.4k on The Daily we we went we Know it went up closer to 38k and Transaction fees did start to go up now Over the last you know few days Transaction fees have started to go back Down again and I think one of the Reasons is because people are starting

To speculate on the altcoin market we've Seen altcoins starting to pop off here And there but you can also see in in 2021 there was like an initial Spike um You know in February and and then there Was a you know sort of a final Spike That occurred two months later and and The current level is actually closer to That initial Spike than anything else But I I think it's worthwhile to watch Because if if transaction fees um Continue to come back down then it could Be uh it could be symbolic or it could Be representative of Interest slowly Waning again just like it meant that uh Earlier this year right and and again When we put out that video on Transaction fees you know we put it out But it's not like you know anyone was Looking at at 30k necessarily and Thinking that that was a major top right I mean certainly it could have been a Local top it could have been the yearly High but I don't think anyone was Looking at 30k and thinking it would Take four years to get back above that Level like it meant over here in like um In in 2017 right Um so when you look at it when you look At it here you can see that it it spiked And then it you know interest just waned Again and and now it's it's basically Doing the same thing again right where Transaction fees have spiked back up but

You know still not to the level that it Was at back in 2023 but it's these Spikes seem to be coming a becoming a Little bit more regular right I mean you Know we're currently have a spike now in November we just had a spike in in May But but before that you know the spike Was all the way back in 2021 and this You know the the major spike before that One was in 2017 so it seems like they're Starting to become a little bit more Regular so I think it might be Worthwhile to keep an eye on transaction Fees um because if it if it does Continue to go down then it it would it Would sort of represent that interest is Starting to sort of Wayne um with Bitcoin and then people are then you Know speculating and ALT the reason why That can be a problem is that you know Bitcoin leads the bull market and if People get too Uh if they get too focused on the Altcoin market then then you know then Bitcoin can start to show weakness and Then that's where altcoins can drop a Lot so you know the reason why this is Useful to look at is because if you want The you know the altcoins move to be More durable then you would not want Bitcoin interest to WAN so quickly right You would want Bitcoin to stay elevated For a longer period of time rather than To to sort of slowly fall back down

Because when it slowly fell back down And April and in and in July we know That was not a good thing for the Altcoin market the altcoin market sold Off considerably so interesting metric To look at transaction fees it it a Local top here on November 9th and it's Been trending down ever since we'll see What it does uh if it can if it can Start to go back up or not and if it Doesn't go back up then you you start to Run the risk of of coming into a another Um another high that we then sort of Bleed out from for you know for at least A couple of months or so like we saw Earlier in the year so look at Transaction fees see if it can go back Up and if it can then it means that Interest is still is still there for Bitcoin and I mean there is you know Potentially um you know if you if you Follow the channel we talk about Bitcoin Dominance and whatnot and and dominance Is coming back in to that prior that Prior high of 52% so there's certainly a Chance that that Bitcoin dominance could Could bottom out um sometime over the Next couple of weeks and and start to Trend higher again as as interest then Shifts back to Bitcoin now remember Bitcoin dominance can go up no matter The direction of Bitcoin USD so you Could have in in prehab years so you Could have an example where Bitcoin

Dominance goes up where Bitcoin goes up And rallies you could have an example Where Bitcoin dominance goes up because Bitcoin's dropping um but just just Remember that aspect of it it's it's It's more so the reason we talk about Bitcoin dominance is because it tells You that crypto portfolios that have That are are Bitcoin heavy tend to do Pretty well in an environment where Bitcoin dominance is going up because Itively the altcoin market is bleeding Back to bitcoin but again you can have One to two month periods where the Altcoin market still outperforms Bitcoin But it doesn't take away from the fact That dominance excluding stable coins Has been putting in higher lows since May of 2021 if you guys like the content Make sure you subscribe to the channel Give the video a thumbs up and check out The sale on into the cryptoverse premium At intothe crypto.com see you guys next Time bye

Coinbase
OUR TAKE

Coinbase is a popular cryptocurrency exchange. It makes it easy to buy, sell, and exchange cryptocurrencies like Bitcoin. Coinbase also has a brokerage service that makes it easy to buy Bitcoin as easily as buying stocks through an online broker. However, Coinbase can be expensive due to the fees it charges and its poor customer service.

Leave a Comment

    • bitcoinBitcoin (BTC) $ 62,131.00 6.65%
    • ethereumEthereum (ETH) $ 3,030.18 7.01%
    • tetherTether (USDT) $ 0.999862 0.1%
    • bnbBNB (BNB) $ 533.89 8.45%
    • solanaSolana (SOL) $ 132.11 14.32%
    • usd-coinUSDC (USDC) $ 0.997097 0.33%
    • staked-etherLido Staked Ether (STETH) $ 3,036.33 6.59%
    • xrpXRP (XRP) $ 0.483452 6.53%
    • dogecoinDogecoin (DOGE) $ 0.151732 7.97%
    • the-open-networkToncoin (TON) $ 6.11 14.16%