Ethereum transaction fees hit lowest level since merger as L2 network activity increases

On May 11th, as more and more activities are being transferred to the Ethereum L2 network, the average transaction fee on Ethereum has reached a historic low. According to data from Ultrasound.money, the average gas fee on Ethereum has dropped to 4.81 Gwei, the lowest level since the network completed the merge event in 2022. Market observers attribute this decline to the increased activity on the L2 network after the completion of the Dencun upgrade, which greatly reduced the fees on the L2 network.

According to blockchain analysis platform IntoTheBlock, more and more transactions are now being settled on the Ethereum L2. Last month, transactions on the top three L2s accounted for 82% of all Ethereum transactions, reaching a historic high.