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Ethereum Overtook Bitcoin For The Total Network Transaction Fees

Ethereum continues the winning season, which began with a price break above $200 last week. A new success for Ethereum was a record increase in total fees for online transactions. As a result, behind this indicator, Bitcoin was left behind. This is evidenced by the data published by Glassnode.

According to the analysis, on June 6 in the Ethereum network, user transactions brought the Ethereum network $498,000. At that time, in the Bitcoin network, the total amount of fees was much less, namely $308,000. This trend repeated the next day: on June 7, fees on the Ethereum network amounted to $540,000, and Bitcoin – $258,000.

Why the Bitcoin network is grazing back?

Ethereum has previously demonstrated its strength against Bitcoin. During Black Thursday, March 12, users were more active on the Ethereum network, as evidenced by statistics. Then the fees for transactions on the Ethereum network amounted to $800,000 and the crypto asset left the flagship cryptocurrency behind. Some cryptanalysts believe that this activity was caused due to the crowded Ethereum’s mempool, so users were willing to overpay for transactions that were in the queue.

Today, a similar situation can be traced. The Bitcoin’s mempool is almost empty, respectively, there is no hype among market participants and therefore the commission for transactions in the Bitcoin network has decreased. Let’s draw a parallel: if on May 20 a user on average paid $6.6 for a Bitcoin transaction, today this operation has decreased to $1.

On the Ethereum network, things are much better. More than 103,000 transactions are queued in Ethereum’s mempool. This excitement provoked an increase in the size of the commission for transactions in the network and, accordingly, became a key factor for a record increase in the total amount of fees.

It should be noted that 2020 was a new stage in the development of the Ethereum network. We have already witnessed how the number of altcoins transactions in this network has increased. This indicates an increase in the popularity of stable coins and the Ethereum network as a whole.

Big bets on Ethereum 2.0 launch

Many traders place big bets on an improved version of the Ethereum network. Even despite the delays in the launch of Ethereum 2.0, many cryptanalysts believe that this network can bring stable coins to a new level of development, and also make the Bitcoin network more competitive.

The developers call the key advantage of Ethereum 2.0 the ability to provide network control to the owners of crypto assets, rather than miners, as it was before. With this option, it is expected that the Ethereum network will be able to reach a new level of scalability.