While bitcoin’s network activity appears to be decreasing, the average transaction fees are seeing a significant increase. The seven-day moving average for transaction fees has climbed to $2.40, marking a new yearly high. This surge in fees comes despite a noticeable drop in daily transactions on the network. 7-day moving average of Bitcoin transaction fee is currently at $2.40, a rise from early May which represents an increase of about 1%. The number of daily bitcoin transactions has dropped by 35%, from over 507,000 on April 22nd to around 330,000. A closer look at the data reveals a divergence between fee and transaction volume. The average cost per transaction is rising even as fewer transactions are happening. This situation raises intriguing questions regarding the causes behind this phenomenon.