Bitcoin Transaction Fees Plummet, Has Runes-Triggered Saga Ended?

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After the latest Bitcoin halving, transaction fees have seen a noticeable drop. This trend is clear in the most recent figures from Mempool.space, where transactions with medium priority now cost $8.48 and those with high priority are priced at $9.32. The decrease in fees is great news for Bitcoin users conducting transactions on the network.

Significantly, the reduction in transaction fees aligns with Bitcoin’s consistent price above $65,000, implying a possible relief from the financial strain of transacting on the network. With Bitcoin holding its worth, cheaper fees might attract more network usage, bringing advantages to users and enhancing transaction fluidity.

Fallout from Runes Saga Impacts Bitcoin Ecosystem

Following the DOG Runes update at block height 840,269 in Bitcoin’s Runes saga, there have been noticeable repercussions across the ecosystem. Most notably, the price of Pre-Runes Ordinals NFT Runestones has experienced a sharp drop, now selling for only 0.03 BTC – a decrease of more than 60% from their previous value. The instability in the value of Runestone NFT collections serves as a reminder of the volatile post-halving environment and the uncertainties brought about by initiatives such as the Runes protocol.

Although it was believed that Casey Rodarmor’s Runes protocol would shield miners from revenue decreases following the halving, the outcome has been quite contrary. The underperformance of the Runes protocol has left miners facing reduced profits, making the difficulties brought about by the halving even more pronounced.

Miners Face Revenue Challenges Amid Hashprice Index Drop

After the Bitcoin halving, miners are faced with increasing financial difficulties as the hashrate index, which measures their potential earnings per hash of computing power, has significantly dropped. This index fell from $182.98 to $81 daily, putting pressure on miners’ profits in the aftermath of the event. The substantial decrease in the hashprice index highlights the financial hardships that miners are experiencing in this new era following the halving.

Although there was optimism that the Runes protocol would revitalize on-chain actions and counteract revenue losses, its performance has fallen short of predictions. Consequently, miners find themselves in a difficult situation with decreased earnings and heightened instability. The significant drop in Runestone NFT collection floor prices adds to the hardships, emphasizing the intricacies of the post-halving phase.

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2024-04-22 11:39