According to a recent report from Coinbase, Ethereum transaction fees have been on the rise over the past week amid increasing blockchain activity.
Increase in Gas Fees
Between September 16 and September 26, the average gas price on Ethereum increased by 498% compared to the previous 30-day average. As a result, the median transaction cost has surged from $0.09 at the beginning of the month to $1.69, according to Coinbase analysts David Duong and David Han’s weekly report.
Factors Influencing Fee Growth
Analysts noted that there is no single catalyst behind the increase in fees. Decentralized exchange (DEX) volumes on Ethereum increased by 9% compared to the previous week, while total ETH transfer volumes rose by 17% during the same period. These factors have led to a corresponding increase in transaction costs as demand for block space increases.
Analysis of Bullish Trend Shift
In a separate report from Kraken, analysts noted that Ethereum has broken above a relative strength index (RSI) downtrend line that dates back to March, when ETH reached a multi-year high above $4,000. The move signals a potential bullish shift in ETH’s near-term momentum. "ETH recently broke above the RSI downtrend line originating from the March 11 high, signaling a potential shift in momentum," the Kraken team wrote.
Despite optimistic signs, analysts at both Coinbase and Kraken urge caution. Ethereum remains below its 200-day exponential moving average (EMA), a critical indicator of long-term price trends, currently at $2,882, continuing to act as a key resistance level.
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