Ethereum Gets Cheaper: Network Fees Collapse Over 85% as ETH Price Rebounds

ETH witnessed a notable recovery after briefly plunging near $2,350 this week. The leading altcoin has since climbed over $2,480. At the same time, its transaction fees have fallen sharply, making the network cheaper to use.

The average cost per ETH transfer has dropped to around $0.095 from this year’s peak of $0.72 on April 21, according to Santiment’s findings. Ethereum Gets Cheaper The decline comes as mainnet demand softened during the bearish summer.

However, network upgrades have also increased Ethereum’s capacity. Fusaka, higher blob throughput, and a 60 million gas limit have helped the network handle more activity.

At the same time, Layer 2 solutions are processing large amounts of transactions that previously competed for Ethereum’s mainnet blockspace. Lower fees could make Ethereum more accessible for users and developers, according to Santiment.