The crypto research firm Kaiko describes an unusual incidence on the ETH network, where $859,000 in petrol fees were spent in a relatively short period of time.
Kaiko relates how one of Binance’s hot wallets for a brief period of time surpassed all other gas consumers on the Ethereum network. The exchange said it was combining ETH accounts, which was the cause of the huge transactions that cost $859,000.
On September 21, between 9:30 a.m. and 10:30 a.m., a Binance 14 Ethereum address used $859,000 in gas.
As a result of the transaction, the price of Ethereum gas on the Ethereum network significantly jumped, rising from a minimum of 6 gwei (about $0.17) to a high of 332 gwei (nearly $11) per transaction.
leading cryptocurrency exchange The significant petrol fees, according to Binance, were caused by a normal consolidation of ETH into one of its wallets.
However, the effect on petrol prices was later mitigated, and as was announced over the weekend, ETH petrol prices fell to a record-low level. The average cost for Ethereum dropped to $1.15 in 2023, which is the lowest amount since December 26, 2022.
ETH trade volumes remain lackluster
Kaiko claims that over the previous 12 months, ETH trade volumes have been underwhelming. This is due to the fact that the price of ETH has been at the $2,100 mark since last year.
Additionally, as markets started to climb in January, altcoins started to outperform ETH, and the difference has continued to widen.
In a another tweet, Kaiko noted that the ETH to BTC ratio was just under 0.08 at this time last year after ETH rose relative to BTC in anticipation of the ETH Merge upgrade. But since then, the ratio has consistently decreased.
ETH was barely up 0.89% in the last 24 hours to $1,586 at the time of writing.