Bitcoin network transaction fees have fallen below $0.40 for the first time since 2017, according to on-chain data. Analyst Darkfost notes this occurred despite relatively high daily transaction counts, differing from historical patterns where low fees signaled low usage. The decline is largely attributed to the adoption of inscriptions, a technical adjustment that reduces transaction weight and competition for block space.
The average transaction fee on the Bitcoin network has fallen below $0.40 for the first time since 2017, according to on-chain data shared by analyst Darkfost. This drop is markedly different as it coincides with daily transaction counts still being relatively high, unlike past periods of low cost triggered by low usage.
According to Darkfost, the decline is largely due to the introduction of inscriptions, a technical adjustment that helps limit the weight of transactions in each block. “Even though this was implemented through a soft fork, it still represents a significant development for Bitcoin,” Darkfost said of the change.
The analyst noted that processed transactions have remained relatively stable and are “far from low.” Historically, the highest fees have often appeared during price peaks, while the lowest came near bear market phases similar to the current environment.
At the time of writing, BTC was trading close to $69,000. This is down more than 17% from the past year and about 45% from its all-time high of over $126,000 in October 2025.
The elevated volatility has been due in part to the ongoing conflict in the Middle East. On Monday, Coinglass reported that momentum was largely tentative, with the short-term structure still being defined by lower highs.
Observers at CryptoQuant noted that Bitcoin had dipped back into an accumulation zone, with large holders becoming more active on Binance. The market appears to be trading in a wide band identified by Daan Crypto Trades as lying between $60,000 and $80,000.
