This website uses cookies to ensure you get the best experience on our website


07th Oct 2020
CryptoAltum Research Team

Ethereum Transaction Fees Fall as DeFi Euphoria Wanes

The average transaction fees in the Ethereum network are down over 80 percent after peaking in early Sep 2020. By Oct 6, network users on average paid $2 per transaction, a huge relief for struggling dApps of which most were contemplating to shut down because of  high network fees.


The blossoming DeFi market was said to not only help buoy ETH prices--benefiting miners, but partly contribute to the untenable use of the Ethereum network. While this could be one explanation, the rise of Layer-2 solutions like Optimistic Rollups also help relieve the network from the high transaction fees.

Impact on ETH Price: 

Neutral. Several factors influence ETH prices. The relationship between network transaction fees and ETH prices is positive only that in the medium term, there are Layer-2 solutions to help scale the network and improve users experience which neutralize bear pressure.

More market updates on our Blog

Risk Disclosure: Trading cryptocurrencies or any other financial instrument involves a significant level of risk and may result in a total loss of your investment. You should consider carefully whether investing in Bitcoin or any other instrument offered by CryptoAltum is appropriate to your financial situation. CryptoAltum only accepts deposits in Cryptocurrencies. By trading with CryptoAltum you acknowledge your understanding of this risk disclosure and your agreement with the Terms and Conditions.

This website is not directed at any jurisdiction and is not intended for any use that would be contrary to local law or regulation.

CryptoAltum does not accept any clients under the age of 18. 
  • Copyright Techcraft Ltd (CryptoAltum) 2020