Whales are moving their funds again on the Bitcoin network. A whopping 47,452 BTC ($414 million) was just withdrawn from Bittrex for a measly fee of $0.68.
Major sums of money are being moved around yet again on the Bitcoin (BTC) network, showcasing just how cheap it is to transfer BTC.
Large Transfers for Small Fees
As Whale Alert recorded earlier today, 47,452 BTC ($414M) was just withdrawn from Bittrex. The fresh recipient address quickly moved the funds to another address. The total fee for the withdrawal was a small fee of just $0.68, which has become the ‘new normal’ on Bitcoin’s network.
It seems that SegWit is working to reduce fees. As BeInCrypto reported, Bitcoin opened this year with a new all-time high in SegWit adoption. Now, at least half of all transactions are done with the help of SegWit, which has reduced fees significantly. The drop has been so drastic that Bitcoin’s average fees are around $0.50 today as opposed to the $20 fees we saw in December 2017. Sending transactions with Bitcoin has gotten cheaper while demand for the leading cryptocurrency has stayed the same, according to on-chain metrics.
The drop in Bitcoin’s fees has surprised some of its critics. Roger Ver, for example, recently said that Bitcoin is “unfairly cheap” and that this will disincentivize the mining network. This is a stunning reversal of his previous criticism of Bitcoin, claiming it was “too expensive.” It seems nothing will satisfy the naysayers.
Bitcoin Tumbles Amid Market Uncertainty
Although we can hope that the whale withdrawing $414M worth of BTC from Bittrex plans to HODL, the rest of the market has been unexpectedly bearish.
According to analysis done by BeInCrypto, the next support level for Bitcoin is at $8,350. Currently, BTC is trading at around the $8,825 price level. Although previously support, the $9,500 price point has now become resistance and the leading cryptocurrency needs to break through it to regain its bullish momentum.
Coronavirus fears have been blamed for the losses and have also affected the global economy at large. Stocks across the board plunged this week amid uncertainty over the possible pandemic. It remains to be seen how Bitcoin will perform in light of these anxieties.