Bitcoin Now Has Lower Fees Than Ethereum
Bitcoin Now Has Lower Fees Than Ethereum Alex Dovbnya Ethereum's fees have been substantially higher compared to Bitcoin over past two months Cover image via www.freepik.com According to cryptocurrency analytics platform CryptoQuant, Ethereum's transaction fees have been consistently more expensive than those of Bitcoin over the past few months. The graph shared by CryptoQuant CEO Ki Young Ju shows that Bitcoin's media fees (orange bars) have consistently remained in the $0.50-$3.00 range. Meanwhile, Ethereum's fees (gray bars) tend to stay between $3 and $6.Both the Bitcoin and Ethereum networks kicked off the year with relatively low fees under $3. On Thursday, a total of 400 BTC (roughly $39 million) was mined within 128 blocks. Miners earned only $731,000 worth of fees. For comparison, Ethereum users paid a total of $3.2 million in fees yesterday. The network's fees experienced a 41% drop over the past 30 days.Profit squeeze Last year, the Bitcoin network experienced a halving event, with the block reward reduced to just 3.125 BTC. There were some concerns about whether or not some miners would be able to remain operational due to declining profits. In April, Bitcoin fees spiked as high as $128 per transaction due to the popularity of Runes. However, this spike has provided miners with only very short-lived relief. The fees ended up plunging by more than 90% by early May. Earlier this month, the Financial Times reported that U.S.-based Bitcoin companies had started accumulating Bitcoin to mitigate the impact of tightening margins. Despite the fact that the price of Bitcoin has increased significantly, Bitcoin miners are still struggling with profitability. The industry has now spent nearly $2 billion over the past two months on Bitcoin purchases. Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available. About the author Alex Dovbnya Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at [email protected]. Related articles