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Fees paid by users to miners for transferring ETH on the Ethereum blockchain in early March fell by 89% from all-time highs and averaged $6. This level of costs for cryptocurrency transactions was last recorded in May 2021, right before the rise to $70.
Now there is an almost similar situation, having “beaten off” the lows, the size of the average ETH commission has sharply increased by 4 times by the beginning of April.
The increase in transaction fees is directly related to the activity of investors who raised the Ethereum rate by 50% over the past month. Despite the impressive rally, the largest altcoins have not yet reached the price levels of the beginning of the year, unlike Bitcoin, which indicates that the coin is undervalued.
According to analysts, the intensity of transactions and gas costs will only increase in April. Investors are waiting for specific dates for the merger of the ETH1 and ETH2 networks from the developers, which should be announced after the launch of the stable version of the Ethereum 2.0 testnet.
Around the same time, the fate of the investments invested in the PoS algorithm will be determined. The developers will announce when it will be possible to withdraw funds to validators (with the exception of the minimum balance of 32 ETH). This certainty will provide the Eth2 deposit contract with an influx of new funds, which in turn will increase the deficit of coins and positively affect the value of Ethereum.
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