HodlX Guest Post Submit your post
- Records can be set for the highest and lowest gas charges.
- In May, the average price of Ethereum gas increased 20% compared to April.
- The total value of locked (TVL) in the DeFi (decentralized finance) sector has fallen by more than 40% to $ 111.4 billion.
- The structure of ERC-20 tokens has fallen by 39% across all networks.
The average Ethereum gas charge was 54.67 gwei in April and 65.65 gwei in May. The price was up 20.1 percent. If there were no maximum gas prices on May 1, 11, and 12, the average price would be 43.1 gwei, which would have been a 20% drop as a representative of the market situation.
There were 33,502,162 Ethereum transactions between April 1 and April 30 (an average of 1,120,072 per day). From May 1 to May 31, there were 34,961,397 Ethereum transactions (an average of 1,127,787 per day). Average daily turnover increased by 0.7%.
Overall, average gas prices grew in May as prices rose on May 1, 11, and 12. May set records for higher and lower gas charges.
Gas prices in April and May 2022
What does this data tell us?
On May 1, the Board Ape Yacht Club sold, and the price of Ethereum Gas rose to 474.71 gwei.
The $ 273 transaction will result in a $ 3,843 gas fee for the requested transaction on Ethereum Network during the sale of Board Ape NFT.
On May 12, gas charges rose to 213.73 gwei.
According to the Fear and Greed Index, investors are rushing to the exchanges to sell their tokens because of fears. 1,211,176 Ethereum transactions on May 11 and 1,328,493 on May 1215% jump.
With the sharp rise in transactions, Ethereum faced network overload, resulting in a rapid increase in gas consumption on the network, leading to increased gas charges for the transaction process. On average, 15 transactions per second can be recorded on the network (1,328,493 daily transactions come at 15.3 per second, essentially in the limit), and if demand is high, jams occur, high gas prices, long hours and so on.
The average commission is 61.55 Gwy on May 10, 147.35 Gwy on May 11 and 213.73 GY on May 12An increase of 247 percent. Overall, the total value locked (TVL) in the DeFi sector fell 40% to $ 111.4 billion in May. Average gas prices have risen in May and April despite similar transactions due to heavy loads on May 11, 12 and 13.
Transactions per day in April and May 2022
Putting the spikes in gas prices on May 1, 11 and 12, the average was 43.1, reflecting a 20% decline and bear market. That’s why it’s important to look at all the data together and see the big picture.
Soon, Ethereum will undergo a ‘merger’ that will eliminate Ethereum mining and significantly reduce Ethereum’s energy consumption. But unfortunately for users, the merger is not expected to reduce Ethereum’s gas charges.
Statistics show that users continue to prioritize other networks, but amid a market downturn, the creation of ERC-20 tokens is down across all networksTop of them is BSC (Binance Smart Chain), which has seen a 49% decrease in ERC-20 tokens compared to April.
The data for ERC-20 tokens created on different networks is as follows.
ERC-20 tokens in April (total 112,996)
- Ethereum 6,133
- BSC 55,360
- BSC TestNet 41,186
- xDAI 498
- The polygon 5,450
- The Phantom 2,620
- Blizzard 1,749
ERC-20 Tokens in May (68,380 total)
- Ethereum 5,946 (three percent less)
- BSC 28,224 (49% lower)
- BSC TestNet 26,753 (35% lower)
- xDAI 438
- The polygon 4,323 (21% lower)
- The Phantom 1,542 (41% lower)
- Blizzard 1,154 (34% lower)
Olga Ortega is chief product officer and co-founder of HashX’s real-time Defy Explorer Analytics. He is an expert in the field of IT, more than 12 years in the development and implementation of large-scale data systems. Over the years, Olga has held managerial positions at multiple global companies such as IT and Google and Facebook. At Analytics, she is responsible for driving the development of the project.
Follow us Twitter Facebook Telegram
Disclaimer: The views expressed in The Daily Hoodle are not investment advice. Investors should exercise their due diligence before making any high risk investments in Bitcoin, Cryptocurrency or Digital Assets. Please be advised that your transfers and transactions are at your own risk and any losses you may incur are your responsibility. Daily Hodl does not endorse or recommend the purchase or sale of any cryptocurrencies or digital assets. Please note that Daily Hodl participates in affiliate marketing.
Featured image: Shutterstock / Delcarmat / Vladimir Sajonov