The Ethereum Gas median surged to 141gwei on May 5th, marking the highest rate since May 12th, 2022. The unexpected spike caught many off guard, particularly since it had been almost a year since the median Gas rate had crossed the 100gwei threshold.
The recent hike in Ethereum Gas seems to result from the recent bull run that the cryptocurrency market has been experiencing. In some instances, the Gas rate even exceeded 200gwei, an alarming indication of the extent of the price surge.
The major consumption object for Ethereum Gas during these periods has been the Uniswap-related contracts. However, this recent change in the Ethereum market has generated a lot of discussion among traders and enthusiasts, with many asking what this could portend for the future of the cryptocurrency.
Only time will tell how the Ethereum Gas market develops in the days to come. But for the time being, attention is focused on the existing patterns and what they could indicate about the future of this well-liked cryptocurrency.
Ethereum’s Active Deposits Surge: Volatility Ahead?
On May 4th, Santiment, a leading crypto analytics platform, made a noteworthy observation about Ethereum’s active deposits, which had just hit an 8-month high.
Upon further investigation, it appears that this development is likely to result in increased volatility for Ethereum, as seen during previous spikes in the wake of events such as the merge and FTX collapse.
However, on May 5th, Santiment tweeted an update on ETH’s active deposits, revealing that exchange addresses interacting on the network had reached their highest level since November 2021.
As a result, ETH is displaying signs of decoupling, and experts predict that it could soon break through the $2,000 mark again.
In related news, Patrick, an on-chain analytics expert, reported on Twitter that the total daily ERC20 token transfers had hit one of their highest points ever yesterday, indicating robust activity within the Ethereum ecosystem.
Overall, the recent surge in ETH Gas rates, likely due, has sparked interest and speculation about the future of the digital currency.
Meanwhile, the increase in active deposits and daily ERC20 token transfers within the Ethereum ecosystem is also notable and suggests the potential for increased volatility and a potential price breakout in the near future.
While it remains to be seen how the ETH Gas market will develop, the attention is on the existing patterns and what they could indicate for the future of this popular cryptocurrency.