According to CryptoPotato, users of Bitcoin's blockchain payments network have experienced a significant increase in transaction fees since October. Ethereum, Bitcoin's main competitor, is also witnessing soaring fees. Blockchain data service CryptoRank reported earlier this week that ETH gas fees across the network averaged $20 to bridge assets, $60 to make a token swap, and $110 to sell an NFT.
Bitcoin fees have skyrocketed in November, along with the cryptocurrency's price. Miner fees for BTC transactions rose from $1.125 on October 27 to $18.69 in mid-November, driven by the Bitcoin ETF frenzy. This level of transaction fees has not been seen since the Bitcoin Ordinals NFT craze in May, indicating a healthy and growing demand for using the network to secure Bitcoin transactions on the chain. This is a positive sign for the network and a revenue boost for Bitcoin miners, who sold more Bitcoin than they produced during the October Bitcoin ETF hype rally.
CryptoFees data reveals that total daily Bitcoin transaction fees averaged $7.4 million for the seven days ending November 19. However, transaction fees dipped to $10.36 over the weekend as the Bitcoin price cooled, possibly indicating that the Bitcoin ETF rally is losing momentum while investors await news from the SEC. Markets appear disappointed by the SEC's decision to extend deadlines for further filings after not approving any of the 12 Bitcoin ETF applications within the eight-day window.
While Bitcoin ETF bears like J.P. Morgan believe the current rally is 'overdone' and expect little gain left for Bitcoin's market cap after the SEC finally approves an ETF, bulls like Ark Invest see an upside as high as $650,000 for Bitcoin's price, with the supply halving just around the corner.