Gas Prices Soar: Meme Cryptocurrency Causes Ethereum Gas to Hit 10-Month High
• The hype around meme-inspired cryptocurrency has caused a spike in the price of Ethereum gas recently.
• Median price of ETH gas on a 7-day moving average has risen to 43.641 gwei, the highest since June 30 last year.
• Average gas price for Ethereum transactions was 81.94 gwei as of April 20, 2023, up from 60.82 gwei on April 19 and 44.42 gwein in 2022.
The Rise of Meme Cryptocurrency
The recent surge in the value of meme-inspired cryptocurrency tokens has had an impact on the prices of Ethereum gas. As demand for transactions on the Ethereum network increases, so does the cost of performing those actions – with a 10-month peak in Ethereum’s gas prices now being seen at 43.641 gwei according to data from Glassnode.
What is Gwei?
Gwei is the currency used to measure the cost of completing an action on the Ethereum network and it is equal to 0.000000001 Ether (ETH). This means that if a transaction requires a certain amount of ‘gas’ at a price of 20 Gwei, then it would take 0.00000002 ETH to execute that action.
Gas Prices & Network Congestion
The price of gas can fluctuate depending on how much activity there is going on within the network itself – miners are more likely to include transactions with higher fees into blocks they mine because it boosts their profits and leads to faster processing times as well as shorter wait times for users who want their transactions processed quickly.
10 Month High
Glassnode data reveals that median prices across seven day moving averages have been consistently rising since May 2022 when they peaked at 150 gwei before dropping back down again until March 2022 when they settled at roughly 20g wei until September 2021 when Merge went live and began pushing them up once more until reaching its current 10 month high at 43g wei today (April 21).
Dogecoin & Starship Launch
The increasing popularity and attention given towards these memecoins has led to some explosive losses such as Dogecoin and Starship launch failures – despite this it appears their presence within crypto markets remains strong enough to continue driving up costs associated with using Ethereum’s blockchain network – whether or not this trend will persist however remains unclear but one thing is certain; memecoins are certainly making their presence known within crypto markets right now!