Santiment, an on-chain analytics firm, has reported a significant decrease in Ethereum gas fees. This reduction in gas fees could potentially propel ETH into a breakout range around $1,900.
This decrease in transaction costs comes as a welcome relief, especially in light of the abrupt fee surge that was witnessed earlier this month. During the early days of July, Ethereum users had to grapple with exorbitantly high network gas fees, with transaction costs soaring to an astonishing $7.40 per transaction.
According to Santiment’s data, there has been a notable decrease in these fees, with the average gas price now hovering around $5.16. Santiment’s analysis suggests that this reduction in gas fees could have a bullish effect on Ethereum’s market trajectory, potentially paving the way for a breakout towards the $1,900 price level.
This forecast is consistent with the optimism stemming from the improved affordability of Ethereum transactions, which has the potential to draw in more users and investors to the platform. Lower gas fees make using the Ethereum network more cost-effective, which could indeed enhance Ethereum’s appeal and support its price growth.
Ethereum Poised for a Bullish Run as Price Targets $1,900 Again
It appears that Ether (ETH) could potentially reattain a price level exceeding $1,900 in the weeks or months to come.
As of the current moment, Ethereum is priced at $1,882.59, and it boasts a market capitalization of $226.30 billion. Over the past 24 hours, Ethereum has seen a modest increase of 0.04%, and its circulating supply is approximately 120.21 million.
Furthermore, other key metrics, such as daily active addresses, social volume, and development activity, all suggest positive indicators for the future price of ETH, adding to the optimism surrounding Ethereum’s potential price trajectory.
Santiment’s data shows that the Ethereum network has seen a substantial increase in daily active addresses, with the count reaching 303.64 thousand. Additionally, the number of ETH holders has grown to 71.7 million. Moreover, there has been a remarkable increase in development activity on the Ethereum blockchain, which supports smart contracts, showing a growth rate of over 104% in the last 30 days.
Given these positive developments surrounding the Ethereum ecosystem, alongside the recent decrease in network gas fees, there’s a good chance that ETH will be able to sustain its upward trend and potentially move towards higher price levels in the future. These metrics reflect a growing interest and activity within the Ethereum community, which can contribute to the coin’s positive market dynamics.
Ethereum Faces Resistance Despite Holding Support Above $1,850
Ethereum has recently exhibited a bullish run but remains confined within a specific trading range, holding levels above $1,850. The current price is above $1,870, and the 100-hourly Simple Moving Average suggests a positive trend.
However, a notable bearish trend line is forming, establishing resistance around the $1,890 mark as per Kraken’s data feed. To achieve a substantial increase in its price, Ethereum must overcome the resistance barriers at $1,890 and $1,900, which are currently acting as hurdles for further upward movement. Breaking through these levels could potentially pave the way for more significant price gains.
Ethereum has made recent attempts to break above the $1,900 resistance but has been unsuccessful, leading to it maintaining a trading range similar to that of Bitcoin.
If Ethereum fails to overcome the $1,900 resistance, it could potentially trigger another downward movement. Initially, support can be found around the $1,870 level or the 100-hourly Simple Moving Average.
The first major support level is located near $1,845, and a breach below this level might result in a revisit of the critical support at $1,825. Further losses could push Ether towards the $1,770 level, followed by the $1,720 support level in the near term. These are the key price levels to monitor in case of a downward trend in Ethereum’s price.