Transaction fee has gone up by 10x during the last two weeks

[Adriano2010]

I also think the price caused the fees growing 10x or more because when people see that price grow either some of them start sell and sending bitcoins either they start buy and a lot of transaction are done on network.

[qwertyup23]

I have noticed that the transaction fee has gone up tremendously during the last two weeks. I am using Blockchain.com wallet, and until two weeks back I was paying somewhere between 1-3 Satoshi per byte for my transactions. But now the default fee in Blockchain.com has increased by more than 10 times, to around 40 Satoshis per byte. And I checked bitcoinfees.earn.com as well, and according to it, the fee needed for instant confirmation is around 220 Satoshi/byte.

I am not saying that at current levels this fee is unaffordable. But what if there is another 10x increase in the transaction fee? Are you willing to pay 2,000 Sat/byte for instant confirmations?

Nah, I rather wait than to pay for instant confirmations but it also depends on the current situation I am facing. Obviously, if emergency rises for me to withdraw or convert my bitcoins, I would not hesitate to seek for instant confirmations. Other than that reason, I would not. Transaction fees would increase as long as the price of bitcoin increases since this is only the few ways miners get compensated (along with mining but it is hardly profitable nowadays).

I also think the price caused the fees growing 10x or more because when people see that price grow either some of them start sell and sending bitcoins either they start buy and a lot of transaction are done on network.

There exist a correlation between the prices of bitcoin and transaction fees as they are directly proportional in its price. Whenever prices increase, transaction fees also increases.

[BitHodler]

I also think the price caused the fees growing 10x or more because when people see that price grow either some of them start sell and sending bitcoins either they start buy and a lot of transaction are done on network.

It's called economical activity, which Bitcoin unfortunately still has problems dealing with. Eventually there is no way back anymore because the use will only increase further and the mempools will be clogged up even without the price causing it.

Segwit hasn't had much of an effect so far and it has been struggling to break that 50% support mark for quite a while now. Batching transactions is what took most of the pressure off the network, let's not forget that.

Segwit gave us a 15-20% block size increase on average, which is peanuts in the grand scheme of things. There is no point in acting like the fees are "just" $3-$4 so it's better than how the situation was in 2017. We're in 2019 now so let's look forward.

[felicita]

yes current bitcoin network fees increased huge but also the prize ...
I have not used the Lightning network until now but this can be a great why to pay without huge fees.

regards

[hyunee]

I know right. This is exactly what is wrong in cryptocurrency. The miner fee are always high. It's even higher on what you want to transact. On the wallet I use, it requires me to pay $7 for a $2 transaction. Sadly this is what's happening when bitcoin is going up. These fee does not have anything to say when bitcoin got $19500.

[Yakamoto]

I know right. This is exactly what is wrong in cryptocurrency. The miner fee are always high. It's even higher on what you want to transact. On the wallet I use, it requires me to pay $7 for a $2 transaction. Sadly this is what's happening when bitcoin is going up. These fee does not have anything to say when bitcoin got $19500.

Miner fees only get high when other users put their fees higher in an effort to give their transactions priority. This happened back when Bitcoin hit $20k and it happened before then too. Some transactions even cost as much as $5 to get it through when the number of unconfirmed transactions was in excess of 400k if memory serves me right. According to blockchain right now, there are only ~8,000 unconfirmed transactions right now, which is even down from 17,000 about two weeks ago. Chances are a lot of people are waiting on sending their Bitcoin anywhere because of the higher fees right now.

Blame other users for the high fees, miners just like to get the extra icing on the block cake in the form of high fees from users. They don't really dictate anything.

[bL4nkcode]

Whenever prices increase, transaction fees also increases.

These differs on what terms people using for fees.
If people base the fees in usd value, of course, as btc price increase, fees in usd value increases. But the fraction of btc in terms of fees remains, especially if you're using a native segwit wallet.

Even the tx fee is only 0.00001 btc as long the value in usd increases, people will still complains. This 0.00001 btc is more or less 0.1 usd at the current rate, but if the value btc goes 20k again, it will become more or less 10 usd then more people will complain, but no one complains, when btc was 3k range, since 0.00001 is only dust that range to .001 usd

[BossMacko]

Expect also for a slower transaction than before besides the jncrease of transaction fee. It happened before 2017 congested network and high price of transaction.

[stompix]

Oh no, transaction fee has gone from 0.3 cents to 3 cents! What a bummer for Bitcoin, I should just go back to Western Union or Visa and pay only 30 cents or 3 dollars. Ok let me check my Visa balance at the ATM first. Oh wow, I got charged $2 just to see my balance.

OK maybe I go too far but really, transaction fees are still in cents and these peaks don't happen all the time. What's the issue?

That's not going to far, it is bs and you know it.

The tx were never 0.3 cents, you had to wait for hours and days with a 1.2 cents tx and in this wave, I've waited one day paying 50 cents, the one with 15 cents was stuck for 3 days.

You got charged for viewing your balance 2$?
Change your bank, I get no ATM fee whatsoever and free interbanking instant transactions.


Anyhow the wave has died down, probably because the momentum is gone but also because we got really lucky with blocks.



We're 37 blocks ahead in two days, that's an average of extra 40k transactions a day that got processed on top of what was supposed to be the capacity. Without this, we would still have around 50-60 tx in the mempool.

[gentlemand]

[ is not capable of microtransactions unlike with Ethereum

ETH had higher fees than bitcoin for s decent stretch of time. Most of the chains that boast about capacity and low cost are empty so that will never be properly put to the test.

[ene1980]

I am not saying that at current levels this fee is unaffordable. But what if there is another 10x increase in the transaction fee? Are you willing to pay 2,000 Sat/byte for instant confirmations?

It is an usual scene to see the transaction fees increase when ever there is an increase in price, the total unconfirmed transaction increases whenever there is a price rally as people are moving their coins often during those period and the amount of unconfirmed transaction has increased a lot in the past few weeks, but i will never give a higher fees if i am not urgent to move my coins, you can always input smaller fees for transaction if you are not that busy.

[thirdlight]

This is a normal situation.  It would be worth the wait.  The higher the price of bitcoin, the greater the commission.  It seems to me that the commission will no longer be less unless bitcoin falls again.

[piebeyb]

this is common and all exchange sites increase fees for every bitcoin withdrawal now, but this is where I might understand not to do an unnecessary transaction. I just think the traders who like to do arbitrage might be able to lose money having to move funds all the time because they have to pay a substantial fee

[LeGaulois]

This is a normal situation.  It would be worth the wait.  The higher the price of bitcoin, the greater the commission.  It seems to me that the commission will no longer be less unless bitcoin falls again.

It's not true, the fees aren't related to the value. People think so because USD/BTC increased.
Take a look at today, the mempool has been almost empty most of the day, (Mempool size in Mb) you could make a TX with 1 satoshi/byte.
So as you see you can still use a cheap fee, BTC near doubled, but fees not really.

[Mrsparks]

This is one of the reasons why I often consider cheaper alternatives to bitcoin when carrying out transactions.. My believe in bitcoin potentials as a store of money is stronger than my opinion regarding bitcoin uniqueness in terms of transactional performance.. The transaction fee and scalability issues will definitely bedevil bitcoin as it grows in adoption..

[nauane]

This is just a reality check. As we are entering the bullish market, trading transactions increases tremendously. And this will result to an increase in transaction fee to speed up the process. I'm sure we don't want to stack on a slower transaction.

Yeah every rise  in bitcoin price always result in increase in the transactions fee which will almost eat up the entire gain and some time the fee to send a transaction will even be more then the amount you want to send.

The transaction fee is the same in satoshi value, but it has increased considerably in the USD value. When ever the bitcoin price rises, we hear this noise from the community that bitcoin tx fee has increased etc. If has actually not increased in reality, only the usd values seems to be very high.

[marcbitcoins]

I have also noticed this significant increases of fees but i think this is normal as the commodities, utility bills and inflation rates are increasing so i guess the exchanges services fees too but maybe if the Crypto market will become healthy again then maybe we could expect the transaction fees to decline again.

[jonasBTC]

The transaction fee is the same in satoshi value, but it has increased considerably in the USD value. When ever the bitcoin price rises, we hear this noise from the community that bitcoin tx fee has increased etc. If has actually not increased in reality, only the usd values seems to be very high.

Check out https://bitcoinfees.info/

Check the average daily tx fee in satoshis.   Those are not pegged to USD

[Sithara007]

I have also noticed this significant increases of fees but i think this is normal as the commodities, utility bills and inflation rates are increasing so i guess the exchanges services fees too but maybe if the Crypto market will become healthy again then maybe we could expect the transaction fees to decline again.

If the crypto-market become healthy, then we can expect the transaction fee to go up. Because the number of transactions will increase in such a scenario, and for instant confirmation you may need to pay a significant premium. And this is one of the ironies with Bitcoin. A rise in adoption and acceptability may result in higher transaction fee, and this in turn can give ammunition for some altcoins such as Bitcoin Cash (BCH) and Ethereum (ETH) in their battle against Bitcoin.

[stompix]

The transaction fee is the same in satoshi value, but it has increased considerably in the USD value. When ever the bitcoin price rises, we hear this noise from the community that bitcoin tx fee has increased etc. If has actually not increased in reality, only the usd values seems to be very high.

God, whenever I see the stake avatar I anticipate this is going to be a stupid post.

If you would have bothered to check at least for one second before posting this you would have understood that the tx fee in satoshi has gone up.

This is the number of fees paid in BTC over the last 6 months, it ha gone from ~ 20 to ~160 these days.

I have also noticed this significant increases of fees but i think this is normal as the commodities, utility bills and inflation rates are increasing so i guess the exchanges services fees too but maybe if the Crypto market will become healthy again then maybe we could expect the transaction fees to decline again.

You have no clue how tx fees work, do you?