Customize Consent Preferences

We use cookies to help you navigate efficiently and perform certain functions. You will find detailed information about all cookies under each consent category below.

The cookies that are categorized as "Necessary" are stored on your browser as they are essential for enabling the basic functionalities of the site. ... 

Always Active

Necessary cookies are required to enable the basic features of this site, such as providing secure log-in or adjusting your consent preferences. These cookies do not store any personally identifiable data.

No cookies to display.

Functional cookies help perform certain functionalities like sharing the content of the website on social media platforms, collecting feedback, and other third-party features.

No cookies to display.

Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics such as the number of visitors, bounce rate, traffic source, etc.

No cookies to display.

Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.

No cookies to display.

Advertisement cookies are used to provide visitors with customized advertisements based on the pages you visited previously and to analyze the effectiveness of the ad campaigns.

No cookies to display.

Connect with us

Hi, what are you looking for?

slide 3 of 2
THE BIZNOB – Global Business & Financial News – A Business Journal – Focus On Business Leaders, Technology – Enterpeneurship – Finance – Economy – Politics & LifestyleTHE BIZNOB – Global Business & Financial News – A Business Journal – Focus On Business Leaders, Technology – Enterpeneurship – Finance – Economy – Politics & Lifestyle

Cryptocurrencies

Cryptocurrencies

Bitcoin per Transaction Cost goes Down every Four Years

Bitcoin per Transaction Cost goes Down every Four Years
Photo by Worldspectrum/round gold colored and black coin on person's hand Photo by Worldspectrum/round gold colored and black coin on person's hand
Bitcoin per Transaction Cost goes Down every Four Years
Photo by Worldspectrum/round gold colored and black coin on person's hand Photo by Worldspectrum/round gold colored and black coin on person's hand

Listen to the article now

A thorough investigation of the thirteen-year-old Bitcoin (BTC) ecosystem reveals intriguing patterns that are naturally driven by market circumstances and investor mood. For example, the ecosystem revealed a cycle in which per transaction prices inevitably decrease every four years as BTC’s cost per transaction dropped to $56.846 on July 14.

Data from Blockchain.com shows a pattern that many would find gratifying. The cost per Bitcoin transaction is computed by dividing miners’ earnings by the total number of transactions.

Bitcoin cost per transaction YTD. Source: blockchain.com

From its all-time high of $300.331 in May 2021, the cost per transaction decreased by over 81 percent by July 2022, which may be attributed to a combination of a protracted bear market and a decline in on-chain transactions because of governmental restrictions placed on retail investors.

But every four years, there is a pattern in the increase and decline of the cost per transaction. For example, the price per transaction for Bitcoin has gone through its rollercoaster cycle three times since its 2009 launch: in 2014, 2018, and 2022.

The cost per transaction would surpass the present all-time high by 2026 if history were to repeat itself regardless of market circumstances, followed by a final decline to the $50 level.

The income from mining Bitcoin has generally decreased throughout the year 2022, with July seeing the lowest monthly income in more than two years.

Due to the substantial operational expenses involved in mining BTC, Bitcoin miners were adversely affected by the declining market prices and found themselves barely generating money. However, since miners have access to inexpensive mining equipment, lowering graphic card or GPU prices is expected to offset the losses.

GPU price trend over the past one year. Source: TechSpot

After the worldwide chip bottleneck was resolved and card makers resumed production, GPU prices fell precipitously, with some cards going for less than their MSRPs. As a result, mining equipment costs decreased by an average of almost 15% in May 2022 because there was more supply than demand.

Read more:


Comment Template

You May Also Like

Cryptocurrencies

An increasing number of parents are using Bitcoin as an alternative to traditional college savings plans, driven by optimism about its growth potential and...

Cryptocurrencies

On January 20, 2025, Bitcoin hit an unprecedented $109,350 as Donald Trump was inaugurated as U.S. President. The Trump family launched billion-dollar meme coins,...

Business

Analysts believe a recent crash in foreign equity markets is more due to investors winding down carry trades than a shift in the U.S....

Finance

Here are a few million-dollar rare coins for coin collectors and individuals with small riches. Flowing Hair Silver Dollar, 1794. This rare 1794–1795 coin...

Notice: The Biznob uses cookies to provide necessary website functionality, improve your experience and analyze our traffic. By using our website, you agree to our Privacy Policy and our Cookie Policy.

Ok