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    ETH Gas Fees Hit Multi-Month Lows

    The decrease in transaction fees occurs against the volatility background of ETH and BTC rates.

    In recent weeks, there has been a decline in transaction fees on the BTC and ETH networks. The reason is the weakening of user activity in these networks. Transaction fees on the BTC network have also been reduced, thanks to the increased use of Segwit transactions, starting in June last year. On average, the transaction fee on the BTC network dropped to $1.59.

    After staying at high levels throughout the second half of 2021, transaction fees on the Ethereum network also began to plummet and are now at their lowest level since July 28, 2021 – at $10.27.

    In recent weeks, there has been a decline in transaction fees on the BTC and ETH networks

    The low transaction fees on both the Bitcoin and Ethereum networks provide a narrow window of opportunity to exchange tokens or issue NFTs (on these platforms) at a lower cost. In fact, the average BTC transaction fee has remained abnormally low since last July after reaching an all-time high of $63 just three months prior, with some analysts attributing this to a decline in demand for transactions on the network as investor interest shifted to altcoins and NFT.

    The decrease in transaction fees occurs against the volatility background of ETH and BTC rates. On March 9, the mainstream cryptocurrency market surged after U.S. President Joe Biden signed an executive order to regulate digital assets. However, the long-awaited growth was short-lived. Early on Thursday morning, the market turned red again, and most of the profit received over the past day was leveled. In just a few hours, BTC lost 5% and fell below the psychological barrier of $40,000.

    Although the recent moves by US lawmakers have had a positive effect on the price of BTC, some technical indicators suggest that a “bearish” triangle is forming on the daily BTC chart with upper and lower borders of about $45,000 and $36,000 respectively. Until the triangle is broken, the price of BTC remains in limbo.

    ETH also suffered over the past day: it lost 4.82% of the market value (at the time of writing) and returned to the level of $2,606.51.

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