In brief
What does it all mean?
Disclaimer
The views and opinions expressed by the author are for informational purposes only and do not constitute financial, investment, or other advice.
$105,212.00
4.48%$2,409.88
7.95%$2.16
7.36%$639.18
3.75%$143.98
9.02%$0.99987
0.01%$0.274204
3.82%$0.163762
8.32%$2,412.18
8.19%$0.580653
7.42%$105,106.00
4.48%$37.11
4.92%$2,908.74
8.11%$2.82
14.48%$460.54
2.01%$12.92
11.47%$9.14
1.21%$0.245739
7.54%$18.18
9.92%$0.999851
0.01%$2.91
7.02%$47.95
-0.17%$0.00001163
9.65%$85.19
6.01%$0.15269
13.57%$2,412.82
8.06%$1.00
-0.05%$2,582.17
8.05%$308.11
2.54%$1.002
0.17%$3.42
9.14%$4.18
3.14%$105,271.00
4.58%$0.00000992
12.08%$6.82
8.35%$0.534316
5.28%$256.63
12.41%$1.18
0.06%$352.34
15.33%$52.17
-1.01%$1.00
0.00%$4.34
10.96%$1.056
0.03%$0.085193
5.75%$4.93
7.95%$2.13
12.46%$174.66
9.35%$16.48
8.58%$0.757799
13.06%$1.00
0.01%$27.35
0.59%$0.609121
4.66%$16.45
3.27%$0.074316
15.79%$4.45
0.15%$0.02157562
11.70%$9.26
6.35%$4.05
9.04%$0.690814
17.97%$0.082802
13.61%$104,858.00
4.02%$0.271411
13.21%$3.19
15.22%$0.181295
5.55%$0.180392
12.56%$2.25
8.76%$0.923123
11.42%$0.301552
11.47%$1.001
0.58%$4.37
4.92%$2,411.38
8.00%$1.00
0.04%$0.259588
30.40%$98.61
10.74%$1.001
0.17%$11.07
2.97%$152.53
9.06%$0.406321
17.79%$1.19
8.60%$0.204191
6.61%$0.01721479
6.62%$2,748.07
8.08%$1.21
18.44%$2,527.16
8.01%$1.67
21.40%$0.00001407
15.06%$1.59
14.66%$11.04
12.90%$1.017
8.45%$0.320571
18.59%$1.001
0.06%$1.00
-0.06%$0.640576
14.76%$0.548241
12.29%$0.058844
5.37%$0.999363
-0.02%$3.13
5.74%$2,580.27
7.81%$2,532.32
8.01%$105,060.00
4.24%$1.11
-0.01%$3,372.94
-0.74%$639.91
3.77%$105,627.00
5.08%$0.836779
21.36%$3,354.10
-0.71%$106,104.00
4.59%$0.082404
12.53%$0.517445
9.60%$2,541.59
8.41%$0.580208
8.47%$0.420227
16.31%$161.24
9.47%$2.11
5.88%$187.76
9.40%$0.846197
10.52%$111.54
0.02%$0.00007343
15.13%$2.19
9.07%$2,609.32
8.25%$0.674784
13.05%$41.75
9.67%$0.999235
0.09%$0.01016775
1.06%$0.711235
8.43%$0.01006123
18.51%$1.086
0.20%$0.258014
11.29%$0.01400861
11.99%$0.163021
11.43%$0.01290736
17.39%$18.83
10.75%$0.233889
9.66%$30.85
6.07%$0.99746
-0.03%$0.00000061
7.83%$1.98
6.61%$104,767.00
4.27%$3.59
10.29%$0.429916
12.81%$0.53498
8.98%$105,140.00
4.71%$0.095954
12.70%$2.06
11.93%$37.11
4.74%$2,414.80
8.32%$0.331827
9.67%$0.489176
12.92%$0.523274
6.46%$2,414.22
8.22%$105,225.00
4.66%$2,570.45
7.76%$1.00
0.04%$2,521.58
7.93%$0.262311
11.16%$1.00
0.26%$0.618278
10.50%$1.37
10.53%$0.01420758
10.82%$2,413.25
8.06%$0.423225
4.40%$7.86
1.35%$47.64
6.33%$0.061218
0.55%$0.04368892
22.13%$0.166561
41.16%$0.999807
0.01%$2.36
8.17%$36.98
4.42%$1.00
0.01%$0.421825
13.15%$1.36
17.42%$0.163694
8.45%$1.091
0.05%$0.996627
0.07%$0.0000004
2.63%$5.59
11.40%$1.001
0.05%$0.998946
-0.15%$0.0042516
24.89%$0.00666385
19.43%$0.114743
12.09%$13.57
12.79%$2,409.41
7.96%$0.32367
17.41%$0.00001878
8.23%$0.517325
9.38%$2,563.61
8.03%$2.27
10.88%$0.981732
15.95%$0.489472
11.02%$0.00422269
18.74%$1.15
13.93%$0.00000091
24.72%$0.069455
9.55%$0.354876
5.32%$0.139795
19.59%$0.03510559
5.24%$0.345222
5.85%$0.165575
-2.48%$1.43
11.13%$5.25
8.50%$0.03520453
9.55%$1.17
5.77%$2,660.07
8.16%$0.00328927
20.62%$105,120.00
4.54%$105,447.00
5.20%$19.73
2.29%$0.01672749
3.68%$2,638.48
8.09%$0.999943
0.01%$0.031756
3.85%$0.999317
0.03%$1.001
0.03%$157.27
9.28%$2,415.19
8.34%$0.00005574
6.46%$1.10
14.36%$0.999891
0.04%$0.301224
17.43%$10.03
4.09%$0.710274
5.97%$0.446756
8.20%$2,412.91
7.97%$109.55
8.27%$0.715906
21.83%$0.00339462
8.96%$0.061026
13.24%$105,368.00
4.76%$18.21
10.26%$0.00000134
2.61%$1.001
0.34%$1.68
-0.97%$0.596802
8.59%$0.598768
17.43%$0.00513927
13.40%$103,489.00
9.10%$2,113.90
4.51%$1.016
0.12%$0.181255
5.39%$102,754.00
4.57%$0.00368733
18.48%$0.182302
8.95%$6.06
10.64%$14.83
9.20%$0.999385
0.03%$19.86
9.80%The average transaction fee on Ethereum is $2.15, data from BitInfoCharts shows. This is the lowest average fee since December 20, 2020, when the average fee was $2.00.
Transaction fees did not exceed $2 for most of 2020, but things took a turn for the crazy as soon as Bitcoin’s bull run ramped into top gear this year, bringing Ethereum along for the ride.
ETH transaction fees hurtled to as high as $69.92 on 12 May, a day after Ethereum hit its all-time high of $4,164. Another fleeting high happened exactly one week later when transaction fees rose to $59.57.
Fees are low because the demand for Ethereum is low. The price of ETH is now around $1,800, and slowly falling.
The same thing has happened to Bitcoin’s average transaction fee, which fell 24% overnight to hit $5.10. At $32,700, Bitcoin’s price is now about half the all-time high that traders set in April. Bitcoin’s transaction fee is 330% lower than this time last year, according to Ycharts.
To be clear, although low transaction fees are bad for miners and may indicate low demand for the network, they’re good for anyone processing complicated transactions through Ethereum-based decentralized finance protocols, such as Uniswap or Synthetix.
Fees may further decrease following the arrival of Ethereum 2.0. The upgrade to the Ethereum blockchain may take years before it is fully implemented but promises faster and cheaper transactions and much greener mining.
That’s partly because the network will switch from the current consumptive proof-of-work consensus mechanism, which requires powerful hardware to validate transactions, to proof-of-stake, where those who stake the most ETH validate transactions.
A successful upgrade could help Ethereum stage a powerful comeback. But should demand hot up, fees could rise once again.
Disclaimer
The views and opinions expressed by the author are for informational purposes only and do not constitute financial, investment, or other advice.