According to recent data from Glassnode, an on-chain analytics firm, since the start of the year, miners have generated a significant transactions fees. Notably, the transaction fees this year constitute for the largest share of the the total miner revenue generated.
Data from Glassnode suggests that the revenue generated by miners since January 23 this years totalled to $227.8 million. Bitcoin miners have generated a total of 1761 Bitcoins in transaction fees from inscription transactions. Inscriptions are a newly discovered (or invented) way of storing data in the bitcoin blockchain.
The generated transaction fees cover for 22% of the total revenue generated. According to data, the transaction fees have yielded $49.9 million. Notably, this shows the high constitution of the transaction fees among the revenue in total.
Simultaneously, after plunging from the current price levels, Bitcoin prices have got back to support levels and are also above stable support.
Analysts analysing the Into The Block, an on-chain analytics firm, say that as long as Bitcoin holds back above the $26,160 – $26,970 range, there is a fair chance that the asset could cross the previous high levels and reach new yearly highs. Simultaneously, while the market has been gaining stability, over 2.26 million addresses have bought over 1.14 million Bitcoin.
Additionally, as the projected Bitcoin halving approaches in 2024, the miners’ profits can meet with a different fate. In a report, JP Morgan stated that the halving event, which involves a 50% reduction in mining rewards, is set to double the production cost of Bitcoin to around $40,000.
However, with the future perspective, such halving events are looked in the positive light. The report highlighted the previous halving events in 2016 and 2020, which were accompanied by bullish trajectories for Bitcoin prices that gained momentum post-halving.
The accumulation of data over the past weeks by the addresses support previous news reported by Todayq News wherein all cohorts have recorded high accumulation levels in the past weeks. Entities with a balance under 100 Bitcoins are increasing their holdings meaningfully, absorbing an equivalent to 254% of mined supply over the last month.
Simultaneously, shark entities (100 to 1000 Bitcoin) are also seeing positive balance change, absorbing volumes equivalent to 36% of mined supply. On the other hand, whale entities (more than 1000 Bitcoin) join miners as net distributors, releasing a volume equivalent to 70% of the mined supply from their holdings.
This highlights that the Bitcoin network has been relatively active this year. The on-chain activities which yield the transaction fees have been significantly high and so have been the accumulation.