Ethereum Gas Fees Fall to 6-Month Low Amid Sparse Network Activities
Estimated Reading Time: 3 minutes
Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you are unlikely to be protected if something goes wrong. Take 2 minutes to learn more
Ethereum (ETH) has recorded a new 6-month low in its gas fees. Along with the rest of the cryptocurrency market, Ethereum recently suffered a significant crash both in price and market capitalization since it touched a new all-time high at $4,370 in May. At press time, the second-largest cryptocurrency trades at $2,030, up by 2% today.
Ethereum is famous for its highly-utilized blockchain, with thousands of decentralized finance (DeFi) Smart Contracts and DApps operating atop it. That said, as Ethereum gained more prominence as a leading cryptocurrency ecosystem, mining activities skyrocketed, driving transaction fees along with it.
According to Bitinfocharts, the ETH gas fee is at $2.3 currently. This price point is a massive drop from its all-time high of $69.9 in May.
Meanwhile, there is an overt correlation between the network activity and the price of Ether and the accompanying transaction fee. That said, the current gas fee level is a direct indication of low network activities or interest in Ether or other crypto projects atop its blockchain. News reports detailed that:
“The ongoing clampdown of all crypto-related activities in China, including mining and trading of digital assets, has also largely affected Ethereum price. All of these negative fundamentals have perhaps helped veer off the engagements of the Ethereum blockchain users, resulting in a decline in the gas fee.”
Key Ethereum Levels to Watch — June 28
Ethereum shows decent bullish strength in the early trading hours on Monday, following a depressing weekend momentum. The cryptocurrency has now broken above the critical bearish tripwire and now approaches the $2,100 level.
This bullish strength got sponsored by the second rejection from the $1,700 support, which should help ETH cover some bullish grounds over the coming hours and days. That said, it appears that bears have failed to drive prices to their desired $1,500 and lower and might never get the chance to again. Any bearish activities from the current levels should get repelled by the $1,700 psychological support.
Meanwhile, our resistance levels are $2,100, $2,200, and $2,300, and our support levels are $1,900, $1,800, and $1,700.
Total Market Capitalization: $1.40 trillion
Ethereum Market Capitalization: $238.5 billion
Ethereum Dominance: 17%
Market Rank: #2
You can purchase crypto coins here: Buy Tokens
