Bitcoin Transaction Fee and Speed - January 30, 2018

in #bitcoin7 years ago


1. Introduction

I was really curious on how bitcoin transaction fees and speed performs today after reading articles and posts saying that it has significantly "improve" or it went back on how it used to be before all of the hypes. So today, I tried to check if there is truth in all of these posts.

This article will present actual evidences of transactions and will try to analyze the differences of each evidence and what may have cause the results.

2. Methodology

To do this I did the following steps:
2.1. I used a bitcoin wallet via a platform used for payment and to buy bitcoin.
2.2. I transferred bitcoin from my bitcoin wallet to my steemit wallet.
2.3. I checked how much the transfer fee is if I try sending to a crypto exchange platform.
2.4. I compared the transaction fee of method (2.2) vs (2.3).
2.5. I compared the transaction fee and speed of method (2.2) vs my previous transaction.

3. Case Study

3.1. Past transaction fee and speed
The last time I transferred bitcoin was last January 12 at around 9:30 PM (GMT+8). That time, the price of bitcoin was around $13.8k apiece, and was not yet dipping as much as the dip right now. I sent 0.00686579 BTC to my exchange wallet and it had a fee of 0.00037179 BTC. The transaction duration took around 2.5 hours before it was completed.

2.PNG

3.2. Bitcoin wallet to Steemit


Today, at 9:13 AM, I transferred 0.00792721 BTC to my steemit wallet. The transaction fee was 0.00001271 BTC and it was completed at 10:21 AM.

1.PNG

3.3. Bitcoin wallet to crypto exchange bitcoin wallet


At 10:00, I checked how much the transaction fee is if I will transfer 0.00792721 BTC from my bitcoin wallet to an exchange bitcoin wallet. The transaction fee was 0.00001337.
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3.4. Summary of given data


3.4.1. Bitcoin price


Bitcoin price on January 12 was around $13,800 per coin.
Bitcoin price at the time of present transaction is around $10,950 per coin.

3.4.2. Past transaction


Transferred amount = 0.00686579 BTC or $94.75
Fee = 0.00037179 BTC or $5.13
Speed = around 150 minutes

3.4.3. Present Transaction - Bitcoin to Steemit (Actual)


Transferred amount = 0.00792721 BTC or $86.80
Fee = 0.00001271 BTC or $0.14
Speed = 68 minutes

3.4.4. Present Transaction - Bitcoin to Exchange Bitcoin Wallet (Trial)


Amount = 0.00792721 BTC or $86.80
Fee = 0.00001337 BTC or $0.15

3.5. Results


Using the methodologies 2.4. and 2.5., I have achieved the following results.

3.5.1. Comparison of Present Transaction vs. Trial Transaction


Using the same amount, the transaction fee for the trial transaction is higher by 0.00000066 BTC ($.007) than the actual transaction. However, there is a difference of 47 minutes between the actual and trial transaction. The change of bitcoin price during the 47 minute duration might be the reason for the variance between the transaction fees.

3.5.2. Comparison of Past Transaction vs. Present Transaction


The past transaction is higher by 0.00035908 BTC ($4.96) than the present transaction fee. The rate is also faster by 82 minutes.

4. Conclusion


Bitcoin’s transfer fee and fee is significantly much better today than more than 2 weeks ago. The possible reasons for this significant change is 1) the implementation of Lightning Network and 2) less volume of transactions. No evidence regarding the cause of significant change was presented in this article, thus, we cannot arrive on a conclusion on why or how the change occur.

Disclaimer

This post is not a professional guide nor do I claim it to be. I just want to share my knowledge to my fellow crypto traders; hoping that this will help them broaden their knowledge in crypto trading.

Previous posts you may like

Trading Strategy 101 – Easiest Bitcoin Trading Strategy - https://steemit.com/bitcoin/@vhmcrypto/trading-strategy-101-easiest-bitcoin-trading-strategy
Crypto Guide for Dummies - Avoiding Beginner's Mistake - https://steemit.com/bitcoin/@vhmcrypto/crypto-guide-for-dummies-avoiding-beginner-s-mistake

Image Source


https://www.weusecoins.com/en/merchant-tools/

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Good analysis of the Bitcoin network's efficiency. Cheers!

I'm happy you liked this post! Thanks!

Too great Sir, actually I'm bearing to much loss as of now as I have bought the bitcoins from a Zebpay Application. But now after getting little understanding from your post that how to transfer the bitcoins to steemit, just wish to transfer bitcoins to steemit or how good it will be if I do transfer it to some other cypto currency?
Please suggest.
thanks!!

Hi! Are you a beginner in crypto? If so try to read this https://steemit.com/bitcoin/@vhmcrypto/crypto-guide-for-dummies-avoiding-beginner-s-mistake .. If you wish to transfer your coins to steemit then just go to your wallet, then click "BUY STEEM OR STEEM POWER" (it's in the upper right section). You'll get transferred to another site where you will see this

If you're going to transfer bitcoin then you don't have to change anything. Just click "Get Deposit Address" and they will generate an address for you where you will deposit your coins. The system will automatically convert your bitcoins to steem so it is very convenient. Take note that if you're going to deposit other currency, then change the currency in "Send". Also, don't deposit more than the Deposit Limit.

If you're getting frustrated because of your loss, don't fret too much. If you look at the market, almost all coins are losing their value. This means that whatever coin you convert your coin in, you will also lose in value. However, in the long run, there are good coins compared to others. Ex. is ADA, TRON, XLM, ETH, and many other. This is just a tip and do not take this as a professional advise. It is always better to do your research first before investing in some coins.

I hope this helps. Good day!

Wow amazing transaction bitcoin