Analyst: Suspicious Bitcoin Mempool Activity, Transaction Fees Spike to $16

With the daily trading volume of Bitcoin at an all-time high, at around $20 bln across major regions, the mempool of the Bitcoin Blockchain has started to expand again.

Bitcoin mempool size spikes, transaction fees increase

In Bitcoin, the mempool operates as a holding area for unconfirmed transactions. Payments made by users await in the mempool until miners arrive to confirm the transactions. The size of the Bitcoin mempool, which remains at around 79 mln bytes at the time of reporting, represents the aggregate size of transactions waiting to be confirmed.

If the size of the Bitcoin mempool is high, transaction fees recommended by wallet platforms such as Blockchain, Coinbase and Trezor surge and failing to attach high fees could result in a transaction being delayed for many days, if the Bitcoin mempool does not clear.

On Dec. 7, the size of the Bitcoin mempool reached 120 mln bytes, spiking by more than two-fold within a 24-hour span. As a consequence, transaction fees of Bitcoin recommended by wallets surged up to $30, depending on the size of the transaction and the number of inputs or outputs.

Bitcoin Mempool Size

Bitcoin Fees, a Bitcoin fee predicting application on Earn.com, previously known as 21 Inc, currently recommends a fee of 450 satoshis per byte for median-size transactions, resulting in a fee of 101,700 satoshis. In US dollars, the recommended fee of Bitcoin Fees for median-size transactions is $16.

“Suspicious behavior” in the Bitcoin mempool

Nic Carter, an experienced Bitcoin analyst and researcher, stated that the abrupt surge in the size of the Bitcoin mempool is suspicious, given that many one satoshi per byte transactions clogged up the mempool and the Bitcoin Blockchain network…

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