ETH Fees Plunge Over 85%, Ethereum Becomes More Affordable
Ethereum has become more affordable for users and developers after network fees dropped by over 85% from their peak this year. The price of ETH recovered to above $2,480 after briefly dipping near $2,350.
The average cost per ETH transfer fell to around $0.095 from its high of $0.72 on April 21. This decline comes as mainnet demand softened during the bearish summer and Ethereum's capacity increased due to network upgrades.
According to Santiment, cheaper transactions can make Ethereum more accessible for users and developers. Layer 2 solutions are processing large amounts of transactions that previously competed for Ethereum's mainnet blockspace.
Analyst Ali Martinez noted that ETH is trading within a defined 4-hour channel despite recent market volatility. He expects a potential rebound toward the middle and upper end of the channel, with $2,700 and then $3,000 as the next targets.