ethereum's average gas price has risen to 55.3 Gwei this month, almost doubling in a month and reaching its highest point since mid-May of this year.
ethereum is trading at 2,230, up 10% from last week and 81.3% from last year, and remains the second most popular cryptocurrency after bitcoin.
ethereum gas fees increase
As revealed According to an analysis by Dune, ethereum gas fees have increased over the past month. In October 2023, ethereum saw a notable reduction in gas fees, reaching a new low. The decline was attributed to decreased activity in decentralized finance (DeFi), non-fungible tokens (nft), and various Telegram bots.
Large gas spenders, including industry giants like Binance and Coinbase and Layer 2 networks like Arbitrum, Optimism, and Base, reduced their spending by 30% in mid-October.
However, on December 1, the introduction of the Buterin nft Cards The collection caused a 13% increase in gas fees on the ethereum network. Transactions associated with this collection accumulated fees totaling 318.31 eth in the last 24 hours, equivalent to $665,670.
Notably, in three hours, transactions linked to the Buterin Cards nft project contributed to more than 13% of the total ethereum network gas fees, surpassing the fees of the Uniswap universal router address and the Tether public address, according to Etherscan data.
ethereum gas rates have been fluctuating
A substantial decrease in ethereum gas fees occurred following the network's transition to a proof-of-stake (PoS) consensus mechanism implemented through ethereum 2.0.
It moved away from the power-hungry proof-of-work (PoW) model, introduced staking, and resulted in a notable 99.9% reduction in power consumption.
ethereum gas fees have consistently reflected network demand throughout its history. In particular, during the initial coin offering (ICO) boom in 2017 and the decentralized finance (DeFi) explosion in 2020, ethereum experienced unprecedented congestion. Increased demand during these periods resulted in a significant increase in gas rates, forcing users to pay sometimes exorbitant amounts to ensure quick processing of their transactions.
Binance Free $100 (Exclusive): Use this link to sign up and receive $100 free and 10% off fees on Binance Futures for the first month (terms).
<!– ai CONTENT END 1 –>