- Following lows earlier this month, when the network’s average transaction cost reached its lowest value since 2020, Ethereum transaction fees have increased during the last week.
- The amount of ether consumed has climbed along with the spike, while the number of active addresses on the network has decreased to a low for the year.
For the first time since July 2020, the average Ethereum transaction fee dropped below $1 USD in the beginning of September. This was far before Ethereum’s proof-of-stake Merge, blob enhancements, or even the introduction of the Bored Ape Yacht Club NFT collection.
On the other hand, the seven-day moving average transaction cost on Ethereum has increased during the last several weeks. In September 2021, its most recent value of $3.52 had than tripled from its initial value of $0.85 on September 1.
The burn rate of Ethereum has also surged because to the recovery in transaction fees; it went from 80.27 eth on September 1 to 1,360 eth on September 21, a 1600% increase in only three weeks.
Along with its V2 version, Uniswap topped the list of the most gas-consuming smart contracts on the network over the previous 30 days. However, Telegram-focused NFT and cryptocurrency trading bots Maestro and Banana Gun were also on the list.
The seven-day moving average of active accounts on the network has decreased dramatically to its lowest value year-to-date in an 11% reduction from its value at the beginning of the month, despite the surge in transaction fees and burns. The network’s worth of around 385,000 accounts is at its lowest point since December 1, 2023.
In recent weeks, the cryptocurrency community has focused more attention on the second-largest cryptocurrency in the world by market capitalization—especially after Ethereum’s market cap ratio fell to its lowest point since 2021 last week before somewhat rebounding. Recently, Bitwise CIO Matt Hougan stated, “Nobody likes Ethereum right now,” before labeling the cryptocurrency as a “contrarian bet.”
Disclaimer : This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments.
