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Bitcoin Daily Transactions Just Reached a New Milestone: What’s Driving It? — TradingView News
The Bitcoin network saw a surge in trading activity in the days following the halving, as shown by on-chain data. While the just concluded halving brought a lot of attention to Bitcoin, the recent increase in trading activity can be attributed to something else.
According to data from on-chain analytics platform IntoTheBlock, the number of daily BTC transactions has grown rapidly in recent days to reach a new high of 927,000 thanks to a new token standard called Runes.
Daily Bitcoin transactions reach new all-time high
The price of Bitcoin has skyrocketed since the start of the year as interest in the leading cryptocurrency exploded. All this new interest means more people are buying, selling, and trading BTC, which has led to a huge increase in the number of daily transactions.
Despite the increase in activity, the number of daily transactions failed to surpass the record of 724,000 of the last four months, until this week.
The main catalyst for this surge in activity is the recent launch of the Runes token standard on the Bitcoin blockchain. The Runes Protocol is a new token standard on BTC that offers users a more efficient way to create fungible tokens.
The additional functionality provided by Runes opens up new possibilities for Bitcoin, allowing users to create non-fungible tokens more efficiently than the current BRC-20 token system.
The Runes token standard immediately grew among developers and users following launch, making up over 68% of recorded Bitcoin transactions. According to Dune’s analytics dashboard, Rune’s transaction count rose to 753,000 on Tuesday, April 23. As a result, the total number of transactions on the day exceeded 927,000, surpassing the record of 724,000 set in December 2023.
Bitcoin has reached a new all-time high in daily transactions!
After the launch of Runes, the number of Bitcoin transactions increased rapidly, reaching 927,000 on Tuesday. This surpasses the previous high of 724,000 set in December 2023 pic.twitter.com/30JXbrLmdR
On the other hand, the hype surrounding the Rune token standard seems to have faded so quickly. The number of transactions on Rune dropped to 104,800 in the last 24 hours, accounting for 26% of the total number of transactions.
Bitcoin price prediction
At the time of writing, Bitcoin is trading at $63,711 with price resistance now around $64,500. Bitcoin’s price trajectory can be very difficult to predict. Many Bitcoin analysts and traders are still anxiously awaiting a bullish effect of the just concluded halving on the cryptocurrency’s price. A Bitcoin bull flag has just formed suggesting the possibility of an uptrend very soon.
However, cryptocurrency expert Peter Brandt believes that Bitcoin may have already reached its peak in the current market cycle. His theory is based on the exponential decay thesis which shows that the percentage gain in Bitcoin’s price has reduced in subsequent market cycles.
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