According to Blockchain.info, Bitcoin’s recent price action – despite low transaction fees – has ultimately seen the lowest number of confirmed transactions per day since March of 2016.
Reports reveal that the number of Bitcoin transactions has steadily fallen – with a new two-year low of some 180,000 confirmed transactions recorded on February 26th, while conditions improved somewhat to a recorded 195,500 confirmed transactions on March 4th.
The plummet comes after Bitcoin’s fall from grace, where the cryptocurrency reached new heighs at the $20,000 USD mark before returning to sub $10K USD values.
The news further comes amidst a time wherein Bitcoin transaction fees have further been slashed through the integration of SegWit (Segregated Witness) technology.
In February this year, Bitcoin Core officially adopted support for SegWit in amove that was ultimatley followed suit by popular trading exchanges Coinbase and Bitfinex.
According to monitoring site SegWit Party, SegWit now constitutes some 30% of all Bitcoin transactions.
Supposition indicates that trading investors and Bitcoin enthusiasts might not be as tempted by lowered transaction fees and wait times as they are by trading potential; a signal that Bitcoin may have further yet to go until it can see wider mainstream adoption as an exchange of value between market participants.
Investors might well be preparing to ‘weather the storm’ of the recent cryptocurrency market downturn by holding on tightly to their Bitcoin portfolios rather than proceed to cash out or convert to other leading alternative cryptocurrencies.
In that light, the emergence of scaling solutions for the Bitcoin network (such as the Lightning Network) might find a heftier challenge in convincing holders to part with their precious coins once implemented at scale later this year.
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