Ethereum Reaches Two-Year Price High Amid Surging Network Fees, SEC Delay on ETF Verdict

Crypto News– Over the past 24 hours, transaction fees on the Ethereum blockchain surged significantly, coinciding with Ethereum’s price surpassing $3,700, marking its highest level in two years.

Ethereum Reaches Two-Year Price High Amid Surging Network Fees, SEC Delay on ETF Verdict

This surge occurred amidst the US Securities and Exchange Commission’s (SEC) delay in making decisions on several pending spot Ethereum exchange-traded fund (ETF) applications. Within the past day, Ethereum’s price rose by approximately 7% to around $3,720 at the time of writing, reaching its highest level since early 2022.

This price surge adds to Ethereum’s total rally of over 60% in the past month, reflecting a broader revival in the crypto market that has seen Bitcoin’s price exceed $67,000.

However, the surge in Ethereum network gas prices accompanied this upward trajectory in price, with an average peak of 79 gwei and peak costs reaching as high as 219 gwei, according to data from Etherscan. Many Ethereum users expressed frustration on social media about the high fees impacting their trading activities, such as token swaps and borrowing transactions.

Notably, this surge in fees resulted in total network fees exceeding $33 million in a single day, representing a threefold increase compared to the beginning of the year, according to data from Cryptofees.

Observers in the market highlighted the forthcoming EIP-4488 upgrade as a potential solution to address these high fee challenges. This upgrade is expected to tackle Ethereum’s historical issues concerning slow transaction speeds, limited throughput, and high fees.