diff --git a/dapp/src/utils/activities.ts b/dapp/src/utils/activities.ts
index 7349a985b..a6d1716da 100644
--- a/dapp/src/utils/activities.ts
+++ b/dapp/src/utils/activities.ts
@@ -21,12 +21,31 @@ export function getEstimatedDuration(
   amount: bigint,
   type: ActivityType,
 ): string {
+  // Withdrawal duration is related to the tBTC redemption process, which takes
+  // approximately 5 - 7 hours. We use the average value of 6 hours.
   if (isWithdrawType(type)) return "6 hours"
 
-  if (amount < MIN_LIMIT_VALUE_DURATION) return "1 hour"
-
-  if (amount >= MIN_LIMIT_VALUE_DURATION && amount < MAX_LIMIT_VALUE_DURATION)
-    return "2 hours"
-
+  // Deposit duration is related to the tBTC minting process, which varies based
+  // on the amount of BTC deposited.
+  // Each threshold requires a different number of Bitcoin transaction confirmations:
+  // <0.1 BTC: 1 Bitcoin block confirmation (~10 minutes),
+  // >=0.1 BTC and <1 BTC: 3 Bitcoin block confirmations (~30 minutes),
+  // >=1 BTC: 6 Bitcoin block confirmations (~60 minutes).
+  // The duration of the transaction minting process depends on the Bitcoin network
+  // congestion, and the fee paid by the user.
+  //
+  // After the required number of Bitcoin block confirmations, the tBTC optimistic
+  // minting process starts. The optimistic minting process takes approximately
+  // 1 hour to complete.
+  // After optimistic minting is completed, the Acre bots will finalize the deposit
+  // in no more than 10 minutes.
+  //
+  // We round the estimated duration up to the nearest hour.
+  //
+  // For <0.1 BTC estimated duration is around 1 hour 20 minutes.
+  if (amount < MIN_LIMIT_VALUE_DURATION) return "2 hours"
+  // For <1 BTC estimated duration is around 1 hours 40 minutes.
+  if (amount < MAX_LIMIT_VALUE_DURATION) return "2 hours"
+  // For >=1 BTC estimated duration is around 2 hours 10 minutes.
   return "3 hours"
 }
diff --git a/dapp/src/utils/tests/activities.test.ts b/dapp/src/utils/tests/activities.test.ts
new file mode 100644
index 000000000..fcafa84a7
--- /dev/null
+++ b/dapp/src/utils/tests/activities.test.ts
@@ -0,0 +1,52 @@
+import { describe, expect, it } from "vitest"
+import { getEstimatedDuration } from "../activities"
+
+describe("Utils functions for activities", () => {
+  describe("getEstimatedDuration", () => {
+    describe("withdraw", () => {
+      describe.each([
+        // 0.01 BTC
+        { value: 0.01, expectedResult: "6 hours" },
+        // 0.1 BTC
+        { value: 0.1, expectedResult: "6 hours" },
+        // 1 BTC
+        { value: 1, expectedResult: "6 hours" },
+        // 10 BTC
+        { value: 10, expectedResult: "6 hours" },
+      ])("when it is $value BTC", ({ value, expectedResult }) => {
+        it(`should return ${expectedResult}`, () => {
+          expect(getEstimatedDuration(BigInt(value * 1e8), "withdraw")).toEqual(
+            expectedResult,
+          )
+        })
+      })
+    })
+
+    describe("deposit", () => {
+      describe.each([
+        // 0.0001 BTC
+        { value: 0.0001, expectedResult: "2 hours" },
+        // 0.001 BTC
+        { value: 0.001, expectedResult: "2 hours" },
+        // 0.01 BTC
+        { value: 0.01, expectedResult: "2 hours" },
+        // 0.09 BTC
+        { value: 0.09, expectedResult: "2 hours" },
+        // 0.1 BTC
+        { value: 0.1, expectedResult: "2 hours" },
+        // 0.9 BTC
+        { value: 0.9, expectedResult: "2 hours" },
+        // 1 BTC
+        { value: 1, expectedResult: "3 hours" },
+        // 10 BTC
+        { value: 10, expectedResult: "3 hours" },
+      ])("when it is $value BTC", ({ value, expectedResult }) => {
+        it(`should return ${expectedResult}`, () => {
+          expect(getEstimatedDuration(BigInt(value * 1e8), "deposit")).toEqual(
+            expectedResult,
+          )
+        })
+      })
+    })
+  })
+})