Bitcoin registered a transaction volume of $1.21 trillion in January 2024. This is the highest figure since September 2022. The current milestone comes four months after Bitcoin registered a continuous gain in transaction volumes.
September 2023 was the only month when the volume fell to $556.49 billion. It has been uphill since then. October, November, and December of 2023 are recorded with $787.01 billion, $869.03 billion, and $1 trillion, respectively. Interestingly, December 2023 is the first year when Bitcoin touched the mark of a trillion dollars in monthly transaction volume.
That cannot be confused with a higher number of transactions, which reached 14.74 million from 17.54 million in December 2023. One reason is that many long-term holders have decided to play with the ongoing market waves. Meaning, they are fine with the volatility and fluctuations that Bitcoin is experiencing at the moment. For reference, the crypto is exchanging hands at $42,935.70. This is significantly down from the ATH of ~$65,000.
Bitcoin’s monthly on-chain transaction volume has been gaining pace since October 2023. It was only in January that it peaked. Analysts believe traders may have waited for the US SEC to approve spot Bitcoin ETF applications. An approval was signed on January 10, 2024, momentarily igniting an uptick in the trading value of BTC. Bitcoin has yet to inch closer to the on-chain transaction volume of November 2021, which was $8.15 trillion. There has only been a decline since then.
Transactions on the network were lowest in February 2023, at 8.39 million. The second-lowest came in the following month at 9.78 million. February 2024 currently stands at 1.75 million.
BTC’s valuation has increased by 0.09% in the last 24 hours. The token is not in the best circumstances right now, but the community is still quite enthusiastic about it. The Commission’s approval has been welcomed worldwide, with many traders considering their alternatives. The market cap and 24-hour volume are up by 0.05% and 20.26%, respectively, in the same order.
A major section of the Bitcoin community is bullish about BTC. It has risen from $20,000 to a $40+ valuation. Plus, it dominates and drives the crypto market at every point. For instance, ETH is also up by 0.55% in the last 24 hours, and some of it is credited to the rising activity on Bitcoin.
Also, as BTC grows, more people seem to take an interest in the cryptosphere. Bitcoin ETFs have paved the way for more crypto ETFs to enter the market. Ether ETF and XRP ETF are the most anticipated applications.
Moving forward, all sights are on February’s figure. It will clarify if the interest of the Bitcoin community is in taking the crypto forward or keeping it stagnant for a little while.