BTC Jumps to $43k as Bitcoin Fees Spike to 2-Year High

TL;DR

• Bitcoin is closing in on the $43k mark after rallying by 4% in the last 24 hours.

• Bitcoin fees jump to a 2-year high as miners record more profit.

Bitcoin Taps $43k Following a Bearish Weekend 

Bitcoin, the leading cryptocurrency by market cap, has bounced back from its weekend bearish performance. BTC has added more than 4% to its value over the last 24 hours and is now trading at $42,950 per coin.

If the bullish momentum continues, BTC could be trading above the $43k level over the next few hours. 

The rally comes as the Bitcoin network continues to experience a surge in transaction fees. Bitcoin network fees surged to over $37, the highest since April 2021, thanks to the rising popularity of Ordinals (Bitcoin NFTs). 

Data obtained from BitInfoCharts shows that transaction fees on the Bitcoin network jumped from $1-$2 recorded in September to currently stand at $37, its highest level since the 2021 Bull Run.

The surge in Bitcoin fees is mainly driven by the resurgence of Ordinals. Ordinals is a protocol that allows users to store NFTs on the Bitcoin blockchain called inscriptions.

According to Dune Analytics, users created over 1.2 million new Ordinals inscriptions from Friday to Sunday. Thus, clogging the Bitcoin network with hundreds of thousands of transactions still waiting for approval.

Altcoins have also started to recover, with Solana the best performer amongst the top 10 cryptocurrencies by market cap. SOL is up by 8% in the last 24 hours and is now trading at $75 per coin.

Injective’s rally continues to push higher, with INJ setting a new all-time high of $38.35. INJ is up by more than 24% in the last 24 hours and is currently trading at $38.355. Year-to-date, INJ is up by more than 2,600%, making it the best performer amongst the top 30 cryptocurrencies by market cap.