Gas prices in Ethereum (ETH) recorded a 6 -month low decline on March 9 with a value at the time of this writing, 53 gwei.
The last time the value of gas reached that level was in August 2021 before seeing a price spike in September to December due to the popularity of non-fungible tokens (NFT).
Gwei - the gas cost that users have to pay to run transactions on Ethereum.
In fact, in February, the value of gas was still above 100 gwei.
Some of the reasons why the gas recorded a decline are detailed as follows:
Influence of decentralized financial applications (DeFi)
Already many DeFi applications are growing on networks other than Ethereum.
Among them: Terra, Binance Smart Chain, and Avalanche.
The effect of transactions on the completion of layer-2 (layer-2)
Arbitrum and ZK-rollup did not miss the surge in transactions.
The shift of consumers to other ecosystems has an impact on gas prices.
Popularity NFT
December 2021 - early February 2022
The involvement of many leading artists in the NFT space - Eminem, Paris Hilton, and Justin Bieber boosted gas prices in January.
The number of daily transactions on OpenSea dropped to $ 290 million on March 8 from a level of around $ 360 million on February 1.
February 1-6-gas prices drop by a median of 134 gwei to 65 gwei.
September-November 2021– the cost of exchanging tokens in Ethereum is now around $ 15, the lowest after declining from $ 200.
During that period, the number of NFT buyers on OpenSea also decreased, around 50,000-30,000 people.
Even so, when writing the gas price shows a level of fluctuation with the current value of 31 gwei at 11.30 am Malaysian time.
