The temperature of the DeFi boom continues unabated, and the transaction fees on the Bitcoin chain are "increasing all boats"

Editor's Note: This article comes fromBabbitt Information (ID: bitcoin8btc)Editor's Note: This article comes from

Babbitt Information (ID: bitcoin8btc)

Babbitt Information (ID: bitcoin8btc)

, Author: CryptoNinjas.net, Compiler: Libert, published with permission.

Bitcoin has not missed the recent increase in the price of the encrypted market, but its on-chain transfer fees have also increased significantly like the Ethereum network fees, which does not bring users a very good transfer experience.

Bitcoin fees are rising again, approaching levels seen during the recovery from the March 2020 crypto market crash. On Thursday, the average transfer fee on the Bitcoin chain hit $3.841 per transaction, up 151% from Sunday. Since then, transfer fees have fallen slightly; according to BitInfoCharts, the average cost of a Bitcoin transaction was $2.9 yesterday.

Transfer fees are related to how active the bitcoin network is, so when a large number of users buy or sell bitcoin, transfer fees rise.

The last time bitcoin transaction fees spiked significantly was in May, when the bitcoin price rose from $7,900 to about $10,000 in just over a month. The Bitcoin network was at its most congested on May 20, with the average cost of broadcasting a Bitcoin transaction exceeding $6.60.

Bitcoin on-chain transfer fees reached their highest level ever in the final days of 2018, when the ICO boom was at its peak and the price of Bitcoin was approaching. Its average transaction fee is a staggering $54 per transaction.

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Historical chart of the average transaction fee on the Bitcoin chain. Source: Bitinfocharts