According to data, the average gas price on Ethereum has been decreasing rapidly since the start of the year, dropping from 218 Gwei on January 10 to 40.82 Gwei on Wednesday. Gas fees for transactions on the Ethereum blockchain have hit their lowest levels in months. However, they remain expensive.
The cost of a single Ethereum transaction has dropped significantly to $11.14, according to data sourced from CoinMetrics and shared by CryptoRank Platform, returning it to the levels recorded mid-last year before it skyrocketed dramatically to as high as $55 at the end of 2021.
The cost of transactions on the @Ethereum network has not been this low since Aug 2021. Notably, gas prices surged after staying in this range for about 3 months with experts attributing the spike to a rise in interest in the #NFT and #DeFi ecosystems.— CryptoRank Platform (@CryptoRank_io) March 9, 2022
At the time of writing, there appears to be little network congestion. According to Etherscan data, gas costs 30 Gwei ($1.53) for a low-speed confirmation and 32 Gwei ($1.64) for a high-speed confirmation at the moment.
According to Ycharts data, the average gas price of Ether (ETH) has been dropping rapidly since the start of the year. The price has plunged all the way from 218 Gwei on Jan.10 to 40.82 Gwei, as of Wednesday.
Ethereum’s nonfungible token and decentralized finance sectors have grown a lot in 2021. But the network has come under fire multiple times for its high gas fees.
There appears to be a correlation between less congestion and lower fees, and waning speculation or interest in NFTs and DeFi during the start of this year compared to late 2021.
According to data from DappRadar, in the past 30 days, nine out of the 10 top marketplaces on Ethereum have seen decreased trading volume. Out of these, LooksRare and OpenSea have seen the biggest losses, with decreases of 78.27% and 34.75%, respectively. Other notable decreases include SuperRare and Rarible, with 73.29% and 80.65% each.
Ethereum-based DeFi is also suffering. Eight out of the top 10 projects in all-seeing red over the past month have lost a lot of value.