In a surprising turn, Ethereum Fee Revenue (USD) has outdone the price of Ethereum (ETH) this year. It means that the money made from fees on the Ethereum network has grown more quickly than the actual value of Ether itself.
It also suggests that the Ethereum network’s use for actual economic activities, like transactions and smart contracts, is growing stronger. We observed it in 2020, so in this article, we will share deep insights about the Ethereum fee revenue and ETH price and the correlation between these two.
Ethereum’s Fee Revenue Reshapes Value Perception: Lessons From 2020 Surge
Ethereum is making waves in the cryptocurrency world as its fee revenue surpasses its own price this year. This twist marks the first time in two years that fees have outdone the price of Ethereum. As a result, experts are hinting at a throwback to the remarkable surge seen in 2020.
The crypto experts have delved into the numbers, and what they found is fascinating. Ethereum’s fee revenue has increased this year. In 2020, Ethereum was valued at around $52.471, while the total fee revenue tallied up to a whopping $176.141.
In 2023, Ethereum’s price skyrocketed to around $1900, and the fee revenue surged to a staggering $6.103 million by July. We cannot avoid this link between fee revenue growth and ETH price as a mere coincidence.
It proves that Ethereum has evolved into more than just a speculative altcoin. People use Ethereum for practical purposes, like real-world transactions and smart contracts, giving the cryptocurrency a fundamental value. Ethereum’s fee revenue could play a key role in shaping its overall value if this trend continues.
Current Market Status: Steady Trading Range for ETH
Ethereum price has been consolidating between $1800 and $1900. We are observing less volatile trading days for cryptocurrencies, which will continue next month. Over the past week, the ETH price has climbed up about 2%.
Looking closely at the daily price action, Ethereum’s price seems to be trading just slightly above the 50-day Exponential Moving Average (EMA), which helps us understand the trend. It suggests that Ethereum is sitting in a good spot in the market, at least not bearish. If ETH crosses the 200-day EMA (around $1800), we can consider it long-term bearish.
Besides that, the Relative Strength Index (RSI) is around 51 for Ethereum. Bollinger Bands also lack volatility, and candlesticks are forming in the upper Bollinger Band, which suggests balanced sentiments in the short term. On the upside, $1950-$2000 will be a strong resistance to the ETH price.
Based on our algorithmic Ethereum price prediction, the coin price is expected to trade between $1600 to $3900 in 2023, but it will cross the psychological mark of $5000 in 2025. Check out the detailed insights into Ethereum price prediction.
Ethereum’s Journey to Becoming the Backbone of the World Economy
Will Ethereum become the foundation of the global economy? However, experts are optimistic because of some relevant causes.
Firstly, a whopping 95% of all the earnings from protocols across the crypto landscape are flowing into Ethereum’s way. That is a vote of confidence in its potential.
Secondly, if you look around, you will find that most big projects are working on making things faster and smoother in the crypto world. They are like the supporting pillars for Ethereum, making the network stronger and more capable.
Thirdly, Ethereum is determined to bring crypto into people’s lives everywhere. After several upgrades (some of them are yet to come), they have got plans to make the network scale up better. The Merge will unlock a new level of power for Ethereum. It will be able to handle way more transactions in the blink of an eye – a hundred thousand per second.
In 2023, you can watch the Ether price at just $1900, but it is just like watching a snowball rolling down from a hill. It will get bigger and more impactful.
Conclusion
By the time all these upgrades are in place, Ethereum might be able to handle the entire world’s financial activity, all while charging tiny fees – maybe even less than a penny.
That is a huge leap toward a crypto-fueled future. If you are interested in participating in this opportunity, research the altcoin and take the guidance of your financial advisor before investing in Ethereum.
