Ethereum gas fees have taken off in the past week, with onchain activity showing serious momentum. According to Coinbase analysts, Ethereum’s average gas price surged by 498% between September 16 and September 26. Transactions that used to cost just $0.09 at the start of the month now require $1.69, so users are feeling the heat.
Multiple Drivers Behind the Spike
But what’s pushing this spike in activity? Analysts David Duong and David Han at Coinbase didn’t pin it on any single event, though several things are cooking in the Ethereum pot. Decentralized exchange (DEX) volumes ticked up by 9% in the last week alone. Ether transfer volumes jumped 17% as well, so higher transaction fees followed the trail.
The buzz isn’t just limited to fees. Ethereum also busted through its relative strength index (RSI) downtrend line—a pattern stretching back to March when ETH sat above $4,000. Analysts at Kraken say this might be signaling a bullish shift.
The 200-Day EMA Barrier: Critical Resistance
Even though Ethereum’s momentum is picking up, Kraken’s analysis team cautioned that there’s still a big hurdle to clear—the 200-day exponential moving average (EMA). Right now, that line sits at $2,882, and Ethereum hasn’t quite crossed it yet. They’re calling this the major resistance level Ethereum needs to reclaim if the bulls are going to have their day.
Until then, this 200-day EMA acts like a gatekeeper for any potential long-term bullish trend reversal. Without it, Ethereum’s price might stay in limbo, hovering without a confirmed breakout.
Futures Market Shows Renewed Optimism
While Ethereum prices are dancing around key resistance, there’s some optimism brewing in the futures market. Julio Moreno from CryptoQuant points out that the futures funding rate’s 30-day moving average has ticked positive, which means futures traders are looking at the upside. Moreno notes that when funding rates go positive, it usually signals growing willingness to open long positions. Still, he tempered expectations, reminding folks that this shift doesn’t guarantee a full-on rally.
Adding to this is data from Coinglass, showing Ethereum’s open interest-weighted funding rate has been trending positively since the Fed’s interest rate cut on September 18, currently sitting at 0.0061%.
At 11:28 a.m. ET, Ethereum’s price was up 1.6%, trading at $2,687.
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