Bitcoin transaction fees have dropped to their lowest since the height of the COVID-19 pandemic in 2020, averaging $38.69 on July 7. This drop is due to lower demand for block space and data volume. Despite the lower transaction costs, Bitcoin miners have maintained profitability due to reduced network difficulty. However, market intelligence firm CryptoQuant has noted signs of miner "capitulation" as profit margins tighten and the Bitcoin price hovers around $50,000. This has resulted in a 63% decline in daily revenues for miners since the halving of Bitcoin's base block rewards and transaction fee revenue.