Bitcoin economic activity now 30% higher than at $20k price

posted 6 months ago
Bitcoin transactions per day have hit a fresh 2019 high with 404,000 daily confirmed transactions, however a “better indicator” measuring transaction outputs reveals that economic activity on the BTC blockchain is currently at a record high. This resource tracks the number of Bitcoin transaction outputs per day. An output essentially contains instructions for sending bitcoins. Its value is the number of satoshis that this output will be worth when claimed. 1 confirmed transaction can contain many outputs from multiple entities. For example, large players such as exchanges use a process called “batching.” This essentially combines multiple outputs into one batch or transaction to reduce overall transaction fees.

Looking at the outputs per day of Bitcoin’s network activity, it currently stands at just over 1 million outputs per day, the highest in Bitcoin’s history. This is also about 2.8 outputs per confirmed transaction. The number of daily outputs is higher than during Bitcoin’s historic bull-run to $20,000. Also, other key network activity indicators such as hash rate is 5x higher than in late 2017. The Bitcoin network is fundamentally a lot stronger and more secure than it was at its price peak, and is displaying healthy growth. It is more secure and more active compared to 2017 as it now settles trillions in value per year. This doesn’t even include the growing off-chain activity such as the Lightning Network.
Tags: bitcoin, blockchain, news