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Someone Paid Enormous 20 ETH as Transaction Fee on Ethereum, Here's What's Happening

Fri, 02/03/2023 - 08:33
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Arman Shirinyan
Ethereum transaction with exceptionally high transaction fee occurs, raising some questions and concerns
Someone Paid Enormous 20 ETH as Transaction Fee on Ethereum, Here's What's Happening
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The transaction on the Ethereum network with a massive 20 ETH gas fee was sent by an anonymous user. This transaction, with a fee equivalent to 927,246 Gwei, is considered one of the largest gas fees recorded on the Ethereum network after the 2021 bull market. It is worth noting that another transaction from the same wallet was sent for 6 ETH, indicating that the user may have intentionally set such a high gas fee.

Despite this outlier transaction, the Ethereum network is functioning as normal with no technical issues observed. The average transaction fee on Ethereum remains at a much lower 0.8214 USD/tx, making the 20 ETH gas fee seem even more unusual.

Ethereum data
Source: Etherscan

However, the attention-grabbing transaction has not affected the overall performance of Ethereum, which has been showing a solid uptrend in recent days. The cryptocurrency reached the local psychological resistance level of $1,700, a price level it has not seen in two months. This is a positive sign for Ethereum, which has been consistently gaining momentum on the market.

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Unfortunately, Ethereum has failed to gain a foothold above the aforementioned resistance level and quickly descended back to the $1,600 price range it has been moving in for the last 20 days. At press time, Ethereum is trading at $1,641 with an almost nonexistent 0.12% price change in the last 24 hours.

While the reason behind the massive gas fee remains a mystery, it serves as a reminder of the ongoing scalability challenges faced by the Ethereum network. Despite this, Ethereum continues to be one of the leading cryptocurrencies in terms of market capitalization and real-world use cases, easily beating its competitors like Solana or Cardano.

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About the author

Arman Shirinyan is a trader, crypto enthusiast and SMM expert with more than four years of experience.

Arman strongly believes that cryptocurrencies and the blockchain will be of constant use in the future. Currently, he focuses on news, articles with deep analysis of crypto projects and technical analysis of cryptocurrency trading pairs.