The Ethereum network often finds itself in an exciting state, even though users may not always agree. Thanks to decreasing total fees paid, completing transactions becomes a lot easier. However, the transaction volume is declining while gas usage is on the rise.
Curious Ethereum Statistics
For the average Ethereum user, sending transactions over this blockchain has been problematic. Not because it takes too long for confirmations, but the sheer costs associated with doing so are anything but fun. It is anything but surprising to see a steep drop-off in Ethereum transactions ever since. Reaching a one-month low in transaction volume may be a bit surprising, although the price decline is a factor to consider.
Currently, the Ethereum transaction volume sits at $288.707 million per the seven-day moving average. That is a more than respectable amount, although one would expect it to be higher. The ecosystem is home to many DApps, smart contracts, and tokens, all of which contribute to the transaction volume. When the number keeps going down despite these aspects, things are not looking too great.
One thing to keep in mind is how all crypto markets went through a significant bearish spell. Prices were reduced by 50% and more for many assets. As there is still no price recovery in sight, it makes one wonder if Ethereum’s transaction volume will continue to decline. Although there is no reason for further bearish pressure, regaining the previous price levels will not come easy.
What is remarkable is the ongoing increase in median gas usage. A lower transaction volume doesn’t automatically mean fewer transactions. Recording a four-month high in median gas usage is interesting, as it confirms the network still sees plenty of activity. Continuing this momentum can drive transaction fees higher too, which would be a rather problematic development.
Total Fees Paid Drop Hard
Speaking of transaction fees, it doesn’t appear there is anything to worry about just yet. While the network remains very active, the total fees paid to miners are decreasing further. Recording a four-month low at this time is an intriguing development. Users have been complaining about high fees for some time now.
As long as the total fees keep decreasing, there is no reason for concern. Even though the transaction volume is on the decline as well, now might be a good time for users to perform those one-time transactions at lower costs. Interacting with DEXes or migrating liquidity can be worthwhile opportunities while the fees remain this low. Paying upward of $75 to complete such transactions is not feasible.
As the crypto markets remain in a bit of a slump, metrics like these paint an intriguing story. Ethereum, while one of the more active networks, finally sees overall fees come down despite an increase in gas usage. The drop in transaction volume is a bit strange but will mainly be influenced by recent price changes.