Key Points
- Bitcoin’s network fees have surged over 100% in the past week, with Ordinals transactions contributing over $3 million in fees.
- The increase in transaction fees is attributed to both the recent price surge and a rise in Ordinals transactions.
Bitcoin’s [BTC](https://coineagle.com/price/bitcoin/) recent upward trend has been accompanied by a significant increase in transaction fees.
This increase in fees isn’t solely due to the price surge, but also influenced by a rise in Ordinals transactions observed over the week.
Bitcoin’s Fee Trend and Price Rise
Data indicates that Bitcoin’s transaction fees have doubled compared to the previous week.
This surge is largely due to the increase in Bitcoin’s price, which is now nearing the $70,000 mark.
The price rise has triggered a significant increase in transaction volume, hitting its highest levels in months.
The volume chart surpassed $100 billion on the 5th and 6th of March, a level not seen since November 2022.
The fee increase is also linked to the recent rise in Ordinals transactions.
Ordinals Transactions and Fees
The past week saw a significant increase in Ordinals inscriptions, from about 48,000 daily at the week’s start to over 93,000 by the 8th of March.
Analysis of the Ordinals fee paid during this period revealed that the daily average fee was around eight BTC, contributing about $3.8 million to the total network fees for the week.
To date, Ordinals has contributed over $434 million in fees.
Bitcoin’s fee trend for the week began with approximately 46 BTC in daily fees, surging to over 103 BTC around the 5th of March.
However, by the end of the week, the daily fee had decreased to around 40.7 BTC.
Despite this decline, there were more daily fees compared to the previous week.
Bitcoin’s daily timeframe chart indicates that it is on the verge of breaking into the $70,000 price range.
At the time of writing, BTC was trading at about $69,400, reflecting an over 1% increase.
The bullish trend continues, as indicated by the Relative Strength Index (RSI) surpassing 75.
This suggests that Bitcoin is still in the overbought zone.
A potential breakthrough into the $70,000 price zone could trigger a new surge in volume and potentially lead to a further increase in fees.
