This year's Dragon Boat Festival, which falls on June 22, is expected to continue the momentum of the May Day holiday and become the hottest such event for the domestic tourism market in five years, industry players have forecast.

Booking volumes for transportation and hotels for the three-day Dragon Boat holiday had boomed as of the first week of June.

Domestic destinations that are within two hours by high-speed train have been the most sought-after, according to Beijing-based online travel agency Qunar.

Travelers aged between 18 and 35 accounted for the largest proportion of those who plan to travel. Besides top-tier cities and some tourist spots, youngsters have been looking for cities famed for their delicacies that don't cost much, like Zibo in Shandong province, Qunar has found.

Zibo's barbecue became a viral topic on social media platforms, and attracted a large number of travelers during the May Day holiday.

Since June 5, fuel surcharges on domestic air tickets were reduced for the third time this year, following cuts in January and April. Fuel surcharges have been reduced to 20 yuan ($2.8) for flights less than 800 kilometers and 30 yuan for more than 800 kilometers, according to domestic carriers.

"Prices of domestic flight tickets for the Dragon Boat holiday are about 20 percent lower than those during the May Day holiday. Some even carry price tags that are lower than high-speed trains. The drop in fuel surcharges has also helped to lower the cost of traveling," said Xiao Peng, a researcher at the big data research institute of Qunar.

"Besides, there won't be that many tourists taking trips. Most cities will see smaller crowds compared with the May Day holiday, and thus be able to provide higher-quality services. Travelers will have a more economical and comfortable experience," Xiao said.

Among those who did not travel during the May Day holiday, more than 80 percent plan to take trips next week.

Besides, with the conclusion of the national college entrance exams in early June, young Chinese are expected to take graduation trips, Qunar said.

Meanwhile, rising summer temperatures have fueled the popularity of some domestic coastal cities such as Qingdao and Weihai of Shandong province; Dalian, Liaoning province; Qinhuangdao, Hebei province; and Xiamen, Fujian province, according to data from on-demand service platform Meituan.