Ethereum network fees fell sharply this week, falling below $10 per transaction to their highest level since March 10, 2022. On May 17, the average transfer fee on Ethereum was 0.0027 ETH or $5.68 per transaction. Tier 1 (L1) fees are lower, so Tier 2 (L2) fees range from $0.02 to $1.13 per transfer.
Ethereum’s on-chain fees slip after a brief spike last week
This week is the best time to send ether or exchange coins using the ethereum network as on-chain transfer fees have dropped below $10. In fact, the average ether fee on May 17, 2022 was around 0.0027 ether or $5.68 per transaction.
Ethereum’s L1 fees haven’t been this low in 68 days or since March 10. The lower fees follow a brief spike that occurred during the Terra blockchain massacre on May 12, as the average fee per transfer for the day was $31.19.
As the average network fee fell this week, so did the median fee for using L1 and L2. At the time of writing Tuesday morning (ET), the median network fee for transactions on Ethereum was 0.0012 ETH or $2.59 per transfer.
The median fee has dropped to $1.01, according to the etherscan metric on Tuesday. Etherscan data suggests that the cost of an Opensea sale today could be around $9.72, a decentralized exchange (dex) swap would cost $8.86, and transferring ERC20 tokens would cost $2.60.
Ethereum’s L2 fees follow the drop in on-chain transfer costs
As usual, L2 fees have also dropped significantly over the past five days since May 12 due to cheaper on-chain fees. For example, each transfer using the Metis network costs about $0.02, while exchanging tokens costs about $0.10.
While Metis is the cheapest L2, the transfer fee for Loopring is only $0.03 per ether transfer, and the fee for exchanging tokens via Loopring is about $0.52. Zksync transfers on Tuesday cost around $0.05, while exchanging a coin costs $0.13. The most expensive L2 today is the Arbitrum One, as the transfer fee is about $0.25, while the coin exchange on Arbitrum is about $0.35.
Lower ether fees follow the network to an all-time high at block 14,770,231 on May 13, 2022. That day, the network’s computing power reached 1.27 petahash per second (PH/s) and continues to be high.
Ethereum’s value has fallen 41.8% so far this year, but ETH is still up more than 482,570% since October 20, 2015, or about six years ago. ETH’s market capitalization accounts for 18.4% of the entire crypto-economy’s net dollar value, with a market capitalization of approximately $253 billion.
What do you think of Ethereum network fees falling to their lowest level in more than two months? Let us know what you think about this topic in the comments section below.
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