Ethereum gas fees dropping to extremely low levels, what does this mean?
According to a leading market intelligence firm, Ethereum’s (ETH) gas fees have plunged to levels not seen since the crypto markets crashed in May 2021.
In a new report by Santiment, the low gas fees on Ethereum indicate that interest in using the dominant smart contract platform has considerably decreased.
“Ethereum fees are so low last days. We could even notice they’ve been that low before previous bottoms. Low fees mean very little activity, no one is interested to do anything.”
Dai (DAI), a stablecoin built on the Ethereum network, is also being considered by the crypto analytics business. According to Santiment, DAI’s money velocity supports the concept that market players have little interest in using the second-largest crypto asset by market cap right now.
“It looks like velocity (a measure of how quickly money is circulating in the crypto economy) has always decreased when we went to the top. Quite low now. What are these two charts showing together is hibernation. It happens typically in winter. Bears sleeping in winter. Waiting for a trigger…”
According to the crypto analytics organization, Dai’s money velocity and Ethereum’s extremely low gas fees indicate “stagnancy” and “fear” among market participants.
Ethereum is changing hands at $1,890 at the time of writing, an 8.7% drop from its seven-day peak of $2,070, according to CoinCu data.
DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Join CoinCu Telegram to keep track of news: https://t.me/coincunews
Follow CoinCu Youtube Channel | Follow CoinCu Facebook page
Harold
CoinCu News
Author
According to a leading market intelligence firm, Ethereum’s (ETH) gas fees have plunged to levels not seen since the crypto markets crashed in May 2021.
In a new report by Santiment, the low gas fees on Ethereum indicate that interest in using the dominant smart contract platform has considerably decreased.
“Ethereum fees are so low last days. We could even notice they’ve been that low before previous bottoms. Low fees mean very little activity, no one is interested to do anything.”
Dai (DAI), a stablecoin built on the Ethereum network, is also being considered by the crypto analytics business. According to Santiment, DAI’s money velocity supports the concept that market players have little interest in using the second-largest crypto asset by market cap right now.
“It looks like velocity (a measure of how quickly money is circulating in the crypto economy) has always decreased when we went to the top. Quite low now. What are these two charts showing together is hibernation. It happens typically in winter. Bears sleeping in winter. Waiting for a trigger…”
According to the crypto analytics organization, Dai’s money velocity and Ethereum’s extremely low gas fees indicate “stagnancy” and “fear” among market participants.
Ethereum is changing hands at $1,890 at the time of writing, an 8.7% drop from its seven-day peak of $2,070, according to CoinCu data.
DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Join CoinCu Telegram to keep track of news: https://t.me/coincunews
Follow CoinCu Youtube Channel | Follow CoinCu Facebook page
Harold
CoinCu News
Other Posts
Related Posts
Latest
Bitcoin Trader Turned $100M in His 20s—Now Reveals 5 Altcoins to Build a $50M Portfolio, With Memecoins Leading the Way!
Dogecoin and Shiba Inu Approach $1, but All Eyes Are on XYZVerse’s Push to $10!
Press Release
The Best Crypto for Passive Income? 10% Weekly Gains and 20% Final Surge—Qubetics Mirrors Cosmos’ Early Success!
Zircuit Launches ZRC Token: Pioneering the Next Era of Decentralized Finance
