Transaction costs on Ethereum, the largest smart contract platform, have dropped very pleasingly after the dramatic increase in early July. Analytics platform Santiment shared this positive development.
Santiment Predicts Ethereum Rise as Transaction Fees Drop
Santiment predicts that ETH will rise to $1,900 while the gas fee drops to $2.45 on Ethereum.
According to Santiment, a significant drop in Ethereum gas fees could put ETH on a bullish side and result in a break above $1,900.
Santiment's statement revealed that Ethereum became quite expensive for users in the first days of July due to gas fees exceeding $7.40 per transaction.
Average fees on the network in March were around $12.5 per transaction. The average fee per transaction on Ethereum dropped to $2.45 on July 10, after a rapid rise earlier this month.
According to Santiment, this development could trigger the rise in Ethereum.
Specifically, he noted that the leading analytics platform Ether (ETH) could rise above $1,900 in the coming weeks or months. A consolidation of $1900 will clear the way for $2000.
Other metrics such as daily active addresses, social volume and development activity also bode well for ETH price.
As explained by Santiment, as of July 11, daily active addresses on Ethereum increased to 303.64k. Likewise, development activity on the smart contract-enabled blockchain has gained over 104% in the past 30 days.
With these many positive developments around the project and the latest reduction in gas fees, ETH can continue its upward movement.
*Not investment advice.
