Transaction fees on the Ethereum network have increased significantly in the past two weeks, following a surge in on-chain activity. According to Coinbase’s weekly report published on September 27, average Ethereum gas fees between September 16 and 26 were 498% higher than the monthly average, with the average transaction cost rising from $0.09 at the beginning of the month to $1.69.

Analysts David Duong and David Han noted that this increase was not due to a single factor, but rather a variety of factors, including a 9% increase in decentralized exchange (DEX) volumes and a rise in USDC deposit rates on Aave from 3.5% to 4.5%.

Additionally, total Ether transfer volumes increased by 17% on a weekly basis. According to blockchain efficiency firm Gashawk, gas fees have spiked as high as 40 gwei several times in the past week.

According to CryptoQuant data, total Ether fees burned increased by 900% to 2,097 ETH between September 14 and 24. DappRadar data shows that DApp volumes have increased by 97% in the last 24 hours to $3.6 billion.

Technically, Ether price has broken the RSI downtrend that started from the multi-year high in March, signaling a possible rise in short-term momentum. However, Ether is still below the 100-day and 200-day exponential moving averages.

On the investment products side, Ethereum investment products broke a five-week negative streak, recording $87 million in inflows. These inflows were largely driven by investments in spot Ethereum ETFs. BlackRock’s ETHA product also continued its positive flow with $11.5 million in inflows.

This article does not contain investment advice. Every investment and trading move carries risks, and you should do your own research when making your decision. We welcome your comments.