New data show that Ethereum Network fees have risen more than 2,000 percent since the London update. Experts believe that completing the Ethereum Network upgrade to the second version could greatly reduce the cost of transactions.
to the Report The data from BitInfoCharts, an analytics firm, shows that the average Ethereum transaction fee has risen to $ 51.45. Ethereum’s fees have risen 2,293 percent since late June, according to Bit Info Charts.
Just seven days ago, the average Ethereum transaction fee was $ 22.52. This month, however, the price of gas in the Ethereum network has changed significantly. On October 15, Ethereum’s average fee doubled from $ 23.79 to $ 45.74 earlier this month.
Ethereum transaction fees have fluctuated sharply since London’s Hardfork in August. Despite the sharp changes in the network fee figure on different days, the general trend of gas prices has been upward.
Bit Info Charts data is based on the average transaction cost recorded yesterday. At the time of writing, the average instant charge for Ethereum transactions on the Etherscan website is about $ 44.33.
Why are Ethereum fees rising?
As the demand for Ethereum increases, so does the digital transaction fee for this digital currency. Ethereum and Bitcoin prices rose last week, and both were able to reach new highs.
Since then, the price of bitcoin has fallen by 8%, from $ 66,930 to $ 6,683. Ethereum, meanwhile, continued its uptrend, reaching a new all-time high of $ 4,456 yesterday.
Bitcoin and Ethereum, which hold the first and second ranks of the market, often fluctuate like each other. The total market value of digital currencies is $ 2.63 trillion, and bitcoin is worth $ 1.1 trillion. Ethereum is in second place with $ 0.5 trillion.
The doubling of the average Ethereum transaction fee from last Saturday to today has been almost correlated with changes in trading volume over the past seven days. Last Saturday, traders traded at Ethereum $ 14.7 billion, up from $ 26 billion this Saturday.
The rapid and unexpected performance of Ethereum prices and last week’s trading activities may be due to the recent update of this digital currency network. Altair Update brings the Ethereum network one step closer to the second version; A mechanism that is faster, safer, more cost-effective, and more environmentally friendly than the current network.
The Bird Update is designed to facilitate the transfer of Ethereum from the labor proof to stock proof mechanism. Proof miners with more processing power can also process more transactions. On the other hand, in the stock proof mechanism, people who have more shares in Ethereum can also validate more transactions.
The network appears to have little way of living up to its promises of cheaper commissions, and Ethereum’s price performance in recent days shows that many investors are supporting the project.