With the third Bitcoin rewards halving just a day away, the average value of transaction fees has surged more than 300%.
The last time the average BTC transaction fee was over $3.00 was in July 2019. Historically, Bitcoin transaction fees prior to a halving event have always increased markedly.
The last halving on July 9, 2016, saw transaction fees skyrocket in the weeks prior, even briefly peaking at an average of $0.62/transaction when the value was around $0.10 within a 24-hour window.
In December 2017, when Bitcoin reached its all time high price of approximately $20,000, the average transaction fee was roughly $55.
Recently, Bitcoin Cash (BCH) proponent, Roger Ver claimed he was charged with fees exceeding $1,000.
Many traders become increasingly bullish on Bitcoin as the block reward halving approaches. An increase in the average transaction fee may indicate that users are willing to pay more to get their transactions processed faster.