On Sunday, Bitcoin's price experienced a slight dip after reaching nearly $106,000, surpassing its previous high of around $105,600 on May 12. Following this peak, BTC subsequently fell, trading around $104,500. This fluctuation reflects the inherent volatility of the cryptocurrency market.
Concurrently, Bitcoin's transaction fees are increasing, signaling heightened demand. The seven-day moving average transaction fee on Bitcoin has risen by approximately $1 since the beginning of May. According to The Block's data, the current value of $2.40 marks the highest recorded value in 2025.
Interestingly, while transaction fees increase, the average number of daily transactions has decreased by 35% since April 22, falling from 507,000 to 330,000. Bitcoin's illiquid supply has also reached a new all-time high, potentially leading to a supply shock and further price increases, according to Glassnode data. Bitcoin's dominance has increased, suggesting liquidity-driven market dynamics rather than a shift towards altcoins.
This article is based on our author's analysis of materials taken from the following resources: The Block, Glassnode.