The total daily value of transactions carried out on the Bitcoin blockchain network recently reached its highest level since the bull run of 2017.
Bitcoin Daily Transactions Reach $3.5 Billion
For the first time since 2017, the daily cumulative value of transactions conducted on the Bitcoin blockchain network reached $3.5 billion worth of BTC. This latest development was achieved on February 3, making it the highest level recorded since the bull run of 2017 that saw the BTC price reachits all-time high of $20,000.
This latest development could be a sign of the strength of the blockchain network or an indication that more people are trusting the Bitcoin network for carrying out daily transactions. By attaining this milestone, the total cumulative value has now achieved a new, two-year high.
Mati Greenspan, a cryptocurrency analyst and founder of QuantumEconomics.io, announced this latest development in a tweet on February 4. He tweeted that, “An estimated $3.5 billion changed hands on the #Bitcoin #blockchain yesterday. The highest level since the 2017 bull market.”
This figure represents the best daily transaction value achieved in two years as the bear market continues to affect the prices of Bitcoin and other cryptocurrencies. The cumulative sum is also higher than the recent 2019 parabolic rally peak that was experienced in June of last year.
While it is not as high as the figures recorded during the bull run of 2017, it is the most elevated experience since then.
Increase in Transactions Could be Due to Rising Adoption
The increasing value in the total daily Bitcoin transactions could be an indication of a greater adoption of the leading cryptocurrency. More people are using Bitcoin to carry out transactions as the cryptocurrency is now accepted in thousands of online stores around the world.
The adoption is happening despite the BTC price struggling to surpass the $10,000 mark over the past few months. However, Bitcoin has had an excellent start to the year and is up by more than 25% since the beginning of 2020.
During the bull run of 2017, total daily transaction volume surpassed $5 billion. This was astonishing considering the fact that SegWit, Lightning, and other second-layer technologies were to be fully rolled out during that period. At the moment, a Bitcoin transaction is faster than it was in 2017 as the second-layer technologies make it easier and quicker to send BTC. These technologies have been critical to the growth of the Bitcoin network during the bear trend.
The recent growth could signal the fact that Bitcoin is most likely following a technology adoption curve because of its unique features as a financial asset. The rising interest might also be an indication that a new bull run is about to happen.
Bitcoin Price Continues To Hover Above $9,000
As the daily transaction value skyrockets, the price of the leading cryptocurrency has been hovering above the $9,000 for a few days now. Despite finding it hard to surpass the $10,000 mark, BTC price has performed excellently year-to-date. It is currently up by more than 25% in 2020, up from the range of $6,000 it was trading towards the end of 2019.