Most of July has been characterized by see-sawing Bitcoin prices and broader uncertainty over Bitcoin’s short to medium-term future. Will the Bitcoin rally resume through the summer of 2019, or will prices head back down towards their lows of this past winter?
So far, nobody seems to have a clear indication of what prices might do next. And the best way to illustrate that uncertainty is to examine transaction volumes on the Bitcoin network. Using Coinmetrics adjusted transaction volume metric, we can get a sense for how volatile network activity has been recently.
On July 28, the Bitcoin network had its lowest transaction volume recorded in the past 2+ months. Only $1.11 billion of economically useful transactions were processed on the Bitcoin network.
One day later, on July 29, the Bitcoin network had its highest transaction volume recorded since January 2018, with over $6.3 billion of economically useful transactions processed in a single day.