ETH Gas Fees Gets Cheaper at 62% Compared to Last Month
A month ago, the overall cost of transactions on the ETH network was high by $62.84, also changes in token swaps, a collab with all smart contracts. As per the present metrics, the fees on the ETH network are around 22.8, which is a downfall of 62.85%.
Moreover, the average level of fee is around 62% which is quite low compared to the metrics recorded on 9th November. Also, the charges for the data transfer are quite low. On 25th December, the fees for transactions on ETH were around $6.78.
At present, the cost o token swap is around $33.89, and the transfer fees for the Layer-2 (L2) are quite low. Also, the provider of lowest fees is around $0.16. In addition to these increasing low fees of ETH network, the network fees of Bitcoin are low too. Bitcoin is averaged around $1.5 from July. Also, on the day of Christmas, the bitcoin fees on average were around 0.000046 BTC, which is over $2.36 per transaction.
This decrease in the Median size of the fees is quite more compared to 62% of metrics recorded 46 days prior. Transfer fees of data are quite low if compared with the median-sized record stated by l2fees.info.
Gas fees work as the proof-of-work for the Blockchain, and for the ETH, these fees are driving users to other crypto coins. This will keep happening until there is a complete transition of POS in the transaction process completes by 2022, and the gas fees will remain high. ETH does not have any specific reply to these low fees offered by cryptocurrencies and quick processing time.
Gas is the Leading Indicator
This year, the high fees of gas were seen as a bullish indication for ETH. It presented that there was such a good demand for transactions for Blockchain, allowing miners to charge exorbitant fees to process them. High fees get linked to high demand, and increasing demand on a crypto Blockchain is, on the surface, a positive thing.
The issue is that if gas taxes are high enough, projects will be forced to use low-cost networks. Because of decreasing transaction fees also the growing set of developer tools, non-fungible token (NFT) applications are blooming on Solana. The gas price is high. However, if the price of the gas goes below a point, it shows an indication.