Ether Gas Fees Surge as Ethereum Prices Hit New All-Time High
Ethereum, the second-largest crypto currency in terms of market capitalization, achieved an all-time high of $4,467 per unit on October 29, 2021, according to CoinMarketCap. Meanwhile, with the launch of the Ethereum network’s Altair update, ether gas costs have soared by an order of magnitude.
As Ethereum’s price rises to new highs, the average fee for transferring ether on the blockchain skyrockets. High transfer costs have been a problem for the two most valuable cryptocurrencies in the world for many years, but this month, Ethereum’s network fees are substantially higher than bitcoin’s, according to market value.
According to statistics from bitinfocharts.com, the average network cost for bitcoin (BTC) was around 0.00000015 BTC per byte, or $3.15 per transaction, on Saturday, October 30. According to the same web service that keeps track of ethereum (ETH) gas costs, it will cost about 0.012 ETH or $50.53 every transaction to transfer some ether.
In accordance with the statistics, ETH network costs are 1,504 percent more than BTC network fees on a Saturday morning. In compared to the measures provided by bitinfocharts.com, the data gathered by the website l2fees.info is a little more modest. To transfer ethereum now costs $18.45 per transaction, according to the time of this writing.
The cost of transferring Ethereum-based tokens and swapping tokens via the use of a smart contract is much greater. According to l2fees.info, the transfer of token fee on Saturday was $43.13 per transaction and more than $94 to exchange tokens by engaging with a smart contract. The lowest ether transaction charge of $18.45 is still 485 percent greater than the average BTC transfer today.
Transferring ethereum through a second-layer method such as Arbitrum or Polygon Hermez is much less expensive than sending ETH on the main network’s onchain transfer mechanism. At the time of publication, ether transactions using Polygon Hermez cost around $0.25 per transfer, but Loopring’s Zkrollup L2 solution costs $0.74. Zksync will cost a user $1.03 each send, whereas leveraging Arbitrum One will cost a user around $4.21 per send.
The EVM-compatible Optimistic Rollup chain Optimism’s fees currently are $4.31 per transaction. Utilizing Loopring to exchange tokens on Saturday is also less expensive than using Ethereum’s mainnet, which costs an average of $94 per transaction.
According to today’s measurements posted on l2fees.info, the cost of swapping tokens on Loopring is $1.07, the cost of swapping tokens on Optimism is $5.54, and the cost of swapping tokens on Arbitrum may be $7.29. Due to the fact that ETH has achieved an all-time high, onchain fees are greater than normal as a result of the Altair upgrade, which prepares Ethereum for the next proof-of-stake (PoS) conversion.