Over the past 24 hours, the largest altcoin ether (ETH) has performed the best among the top 10 cryptocurrencies, has risen in price by more than 6%.
On Friday, July 31, the ETH rate came very close to $340, the capitalization of the digital currency now exceeds $37.8 billion. The last time Ethereum was traded at this level at the end of June 2019.
Analysts believe that the $ 350 mark will be a significant event in the ecosystem's history. In this case, the inflow of capital into the altcoin will increase, and there will be opportunities for testing values above $ 400.
Rising transaction fees on Ethereum are an essential signal that cryptocurrency continues to grow.
As one of the experts noted on Twitter, ETH holders are willing to pay such high fees, which means that the need for transactions is increasing.
The high fees on the Ethereum network are a result of the activation of DeFi market participants who transact with ERC20 tokens.
Operating fees on Ethereum reached $ 0.4 this week, significantly higher than on the Tron blockchain. Note that in some networks, such as NANO, user transactions are generally free.
Frequent network congestion is forcing Ethereum developers to accelerate the activation of the ETH2.0 update, designed to significantly increase the project's throughput. Recently, one of the developers, Afri Schoeden, announced that the software update is going to be ready this fall.