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#Ethereum maintains price over $3,100 as fees fall to October lows
Despite relatively high throughput, the Ethereum supply is increasing.
Since October, the average charge has plummeted to $1.12 per transaction.
After rising 4% over the previous week, Ether maintained a price over $3,100 on Sunday.
The high transaction fees on Ethereum have always been a problem for the network. Users seeking alternatives to lower-cost transactions saw Layer 2 chains and scaling solutions emerge as a result.
With the average cost level for Ethereum network transactions falling to $1.12, the problem seems to have de-escalated. Since October 18, this is among the lowest levels recorded.
Reduced Ethereum transaction fees
The amount of Ether in circulation has increased dramatically, reaching its highest point since March, according to data from Ultrasound Money. With the burn rate consistently falling over the previous two weeks, there has been a dramatic rise in supply, and there is currently just over 120 million Ether in circulation.
According to Ultrasound.money, gas costs have increased from a low of 4.48 Gwei to a current figure of 7.19 Gwei. As seen in YCharts, gas fees have dropped from a high of $3.788 in May 2023 to their present level of $0.62.
The most recent surge came as a shock to Ethereum investors, as seen by the supply chart, after five months of consistent depreciation. You can see the unexpected surge in supply in the Ethereum supply chart below.
The price of Ether has not been significantly affected by these catalysts. After relatively little movements after Bitcoin's halving, the cryptocurrency has maintained over $3,100 on Sunday. Ethereum (ETH) investors are eagerly anticipating the judgment of the Securities and Exchange Commission (SEC) on the Spot Ether ETF, which is expected to be the most important trigger for Ethereum.
