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Analyst: Ethereum Gas fee hitting bottom may indicate that ETH price is also at a mid-line low

Analyst: Ethereum Gas fee hitting bottom may indicate that ETH price is also at a mid-line low

Bitget2024/08/18 03:12

Analyst Ryan Lee stated that every time ETH's Gas fee drops to the bottom, it often indicates a mid-term price bottoming out. The price of ETH tends to rebound strongly after this cycle, and when this moment coincides with the interest rate cut cycle, the market's wealth effect is full of possibilities. Lee said that Ethereum's Gas cost has dropped to its lowest level in five years, which can be attributed to the popularity of memes and Dapp interactive users migrating to other faster and cheaper blockchains such as Solana and Layer 2. In addition, the Dencun upgrade has also improved network efficiency, thereby reducing Gas costs.

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