Ethereum Gas Fees Hit Lowest Level Since 2020 Amid Reduced Network Activity

• Ethereum transaction fees dropped 70% in a week, reaching $0.77, the lowest level since July 2020, signaling reduced network congestion.
• The median Ethereum gas price went down to 1.19 Gwei last February 15, the lowest during the January 2020 period.
• Ethereum’s price declined to $2,627.20, reflecting less activity in terms of market trends and overall demand and blockchain interactions.

Ethereum transaction fees are the lowest in over four years, and the 7-day moving average (7DMA) of the fees bottomed at $0.77 on February 15. This represents a steep 70% drop from the previous 7DMA at $2.57, bringing the cost of the transactions to the lowest in July 2020. The reduced fees are consistent with the overall trend in the downward slope in median gas prices, reflecting less network congestion.

Ethereum Gas Prices Hit Multi-Year Low

Mikybull Crypto reported Ethereum’s median gas price, in Gwei, at 1.61 Gwei in the previous week. The lowest so far in the period, and the lowest in the period The Block has recorded the metric, beginning in January 2020, was 1.19 Gwei, reached February 15. It’s only the second time the gas prices reached this low, the first in September 2024. The drop in the transaction cost means less activity in the network and improved efficiency in the Ethereum network.

From February to April 2024, Ethereum’s gas prices fluctuated wildly, peaking at above 75 Gwei, possibly due to the increase in activity in DeFi, NFT, and traffic in the network. From May to August, the prices settled between 5 and 25 Gwei, possibly because Ethereum’s scalability solutions, including the use of Layer 2, kicked in. October to December also saw repeated surges due to token trading and project launches. By the first half of 2025, the gas prices settled, indicating the slowdown in the demand in the network or efficiency.

Ethereum Price Declines Despite Decreased Use

The Ethereum exchange value followed identical market fluctuations. At the time of writing,The price of Ethereum (ETH) reached $2,627.20 and it has experienced declines of 3.87% in recent 24 hours as well as 3.47% during the previous week. Gas fees and network activity have both decreased in relation to each other since less activity occurs within the Ethereum blockchain.

The price of gas together with associated fees dropped due to Ethereum network updates and increased implementation of layer 2 scalability protocols, along with changing market perspectives. The cryptocurrency market demonstrates temporary deceleration accompanied by Bitcoin network activity reaching its lowest level in the past one year.