Bitcoin Transactions Reach The Same Level As In January 2018
Bitcoin transactions seem to be increasing even when we are in the longest bear market ever registered in the cryptocurrency space. The daily Bitcoin (BTC) transaction volume has reached the same levels as it had back in January, after hitting $20,000. The information about it can be seen on BitInfoCharts.
This is very important for Bitcoin because the digital currency has been in a bear market since the end of 2017. After reaching an all-time high, Bitcoin dropped down to $3,250, a price decrease of over 82%. Bitcoin was not the only virtual currency experiencing such a price decrease, other digital assets such as Ethereum (ETH) or Litecoin (LTC) have also lost an important part of their value during 2018.
The growing number of transactions registered by the Bitcoin network shows that there is a growing interest in the digital asset.
According to Jameson Lopp, the chief technology officer of Casa, made an analysis a few months ago regarding the fundamentals behind the most popular digital currency in the market. Although the digital asset has been in a bear trend, the fundamentals behind it continue to improve and grow.
On the matter, he commented:
“A variety of improvements in block propagation have been implemented by Bitcoin Core over the past couple years and as nodes are upgrading, they appear to be having an effect. There’s also a new highly performant miner relay network.”
Some of the important things that Lopp mentioned are related to the adoption of Segregated Witness (SegWit), the development of the Lightning Network (LN), transaction batching and more. This allowed the Bitcoin network to have more efficient use of block space.
During 2018, the number of transactions using SegWit increased to 40% after being implemented in 2017. At the same time, the Bitcoin transaction size has also been reduced falling from 750 bytes in February 2018 to 450 bytes at the end of the last year.
Bitcoin continues to expand all over the world. A few days ago, we wrote at Bitcoin Exchange Guide that Argentinians are now able to pay for public transport using Bitcoin. Other companies are also starting to add Bitcoin support, even when the market did not recover from its all-time high.
At the time of writing, Bitcoin is being traded around $3,450 and it has a market capitalization of $60.45 billion.
Bitcoin (BTC), Ethereum (ETH), and Litecoin (LTC) Price Analysis Watch (Feb 8th)