The Ethereum Network’s gas fees have hit a six-month low, even as the price of Ether saw a spike over the weekend. This combination suggests that a potential rally for ETH may be on the horizon sooner than expected.
According to Santiment on X, the average fee for an Ethereum transaction dropped to as low as $1.12 on April 27. Santiment noted that traders often move between optimistic and pessimistic sentiment cycles, which can be reflected in transaction fees.
After reaching an 8-month high in February, gas fees have now dropped back down, creating an opportunity for investors to take advantage of lower prices. This could lead to increased activity on the ETH network and potentially spark an altcoin rally.
Santiment believes that the recent lack of demand and network strain may help turn ETH and other altcoins around sooner than anticipated. On April 27, the native tokens of Ethereum layer-2 networks Optimism, Arbitrum, and Polygon were among the top five best-performing assets in the top 50 cryptocurrencies by market cap.
Currently, Ethereum is trading at $3,169.16, with trading volume up by 13.51% in the last 24 hours. With increased trading activity, Ethereum may be poised for a surge in the near future.