Average Bitcoin transaction value rises 500% to $150,000 since July

The average value of each Bitcoin (BTC) transaction has increased significantly since July this year.

Four months ago, the average Bitcoin transaction was worth about $25,000, but on October 20, it hit a yearly high of $151,000 per transaction, an increase of more than 500%.

Average Bitcoin transaction value Source: BitInfoCharts

Data from crypto analytics platform BitInfoCharts shows that in the latest surge, the average value of Bitcoin transactions increased by nearly $50,000 from $105,000 in the past 48 hours. The surge in transaction value came shortly after Bitcoin’s trading dominance rose to levels not seen since 2017.

The average transaction value of Bitcoin at $151,000 is 190 times higher than the average transaction value of Ethereum at $793, indicating a clear increase in institutional participation in the Bitcoin market.

However, during the DeFi boom in August, Ethereum’s daily transaction volume increased by 30%, reaching a two-year high of 1.29 million on August 10. During the same period, Bitcoin transaction volume continued to hover between 300,000 and 350,000, which mainly shows that the Ethereum ecosystem has attracted new crypto users.

The number of active Bitcoin addresses has not changed significantly, fluctuating between 650,000 and 970,000 in the past four months.

Number of Bitcoin transactions per day Source: BitInfoCharts

Accumulation data shows that institutional investors are starting to take notice as large investment firms like Grayscale and Microstrategy have accumulated large amounts of Bitcoin and other cryptocurrencies over the past few months.

As of the end of September, Grayscale controlled at least 449,900 bitcoins, or 2.4% of the current bitcoin supply, while Microstrategy held 38,250 bitcoins.

Two weeks later, Jack Dorsey’s Square purchased 4,709 bitcoins (about $50 million).