Odaily Planet Daily News: Santiment stated in an article on X that currently, the average cost of Ethereum transfers is only $0.41, while the highest point in the past two years was $15.21. When Ethereum transaction fees are low, it usually means that the network will not be too crowded. When users transfer ETH or tokens without paying high fees, this is usually a good sign for the medium and long-term price outlook. Traders believe that these low cost levels typically occur when prices are considered 'low' or 'bearish'. These reduced costs make it easier for new buyers to enter the market.
On the other hand, when the cost is high, it usually means there is a lot of activity online. This usually occurs when ETH prices rise rapidly, as more and more people compete to trade or use Ethereum based applications. Just as extremely high fees can sometimes deter traders or lead to short-term adjustments, extremely low fees (as we see now) typically incentivize users to return and increase the network's utility to a thriving level.
