Grayscale Buys 10,000 ETH During Ethereum’s Recovery Above $1600, Transaction Fee Spike Above $37

Published by
Grayscale Buys 10,000 ETH During Ethereum’s Recovery Above $1600, Transaction Fee Spike Above $37

During the crypto market crash earlier on Tuesday, February 23, Ethereum (ETH) price tanked all the way to $1450 levels. ETH has recovered since then and is now back above $1600 levels. At press time, ETH is trading at a price of $1618 with a market cap of $185 billion.

It turns out that on its way to recovery, the Grayscale Ethereum Trust (ETHE) added an additional 10,000 ETH coins to its kitty in the last 24-hours, as per data on Bybt. Thus, just like Bitcoin (BTC), institutional inflows into Ethereum continue as big players make the most of the market dip. With the recent purchase, Grayscale’s total ETH holdings have gone above 3.17 million.

The Ethereum price rally has been big so far in 2021. Although ETH has corrected 20% from its all-time high above $2000, it is still trading at 125% gains year-to-date. Interestingly, data from Skew analytics points out that there are fewer liquidations during the recent ETH price recovery which shows that some long-term investors have already done the bottom fishing.

Another data shows that CME Ether Futures see huge investor interest since going live two weeks back on February 8. Earlier on Monday amid the crypto market jitters, the CME Ether futures registered record trading volume close to $160 million.

ETH Transaction Fee Hits All-time High

One of the major concerns that the Ethereum network is currently facing is that the surge in the Ethereum network activity has led to a major surge in the gas fee. Over the last year, the DeFi growth has exploded leading to massive settlements on the Ethereum blockchain. Data from CoinMetrics show that the daily settlements on Ethereum have jumped 25x over the last year.

However, just as ETH enters a consolidation zone between $1500-$1700, the average transaction fee on Ethereum has spiked to a whopping $37.6 billion. Thus, the ETH transaction fee has hit the highest since its inception in 2014.

The Ethereum network congestion has given a lot of fodder to players like the Binance Smart Chain. Recently BSC has registered a major uptick in DeFi activity and DEX transaction thereby helping its naive BNB cryptocurrency to become the third-largest crypto by market cap.

Although Ethereum makes an attempt to surge past $2000, the technicals look weak at this point.

Advertisement

Share
Bhushan Akolkar

Bhushan is a seasoned crypto writer with over eight years of experience spanning more than 10,000 contributions across multiple platforms like CoinGape, CoinSpeaker, Bitcoinist, Crypto News Flash, and others. Being a Fintech enthusiast, he loves reporting across Crypto, Blockchain, DeFi, Global Macros with a keen understanding in financial markets. 

He is committed to continuous learning and stays motivated by sharing the knowledge he acquires. In his free time, Bhushan enjoys reading thriller fiction novels and occasionally explores his culinary skills. Bhushan has a bachelors degree in electronics engineering, however, his interest in finance and economics drives him to crypto and blockchain.

Published by
Why trust CoinGape: CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journalists and analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.

Recent Posts

  • 24/7 Cryptocurrency News

XRP Ledger Rolls Out MPT Standard for Real-World Asset Tokenization

The XRP Ledger (XRPL) has launched the Multi-Purpose Token (MPT) standard, designed to simplify and…

October 1, 2025
  • 24/7 Cryptocurrency News

SEC Puts Crypto ETF Approvals On Hold Following U.S. Government Shutdown

The U.S. Securities and Exchange Commission has announced plans to streamline its operations amid the…

October 1, 2025
  • 24/7 Cryptocurrency News

Pi Network Adds DEX and AMM Features To Expand Pi Coin’s Utility

Pi Network has now added two new features to its Testnet. These are a decentralized…

October 1, 2025
  • 24/7 Cryptocurrency News

October Fed Rate Cut Odds Rise After Weak U.S. Labor Data, Bitcoin Surges

U.S. private payrolls unexpectedly fell in September, raising market bets that the Federal Reserve will…

October 1, 2025
  • 24/7 Cryptocurrency News

Hashdex Adds Cardano to Crypto Index Fund as ADA Gains SEC Listing Eligibility

Asset manager Hashdex has officially included Cardano in its Nasdaq Crypto Index U.S. ETF. This…

October 1, 2025
  • Bitcoin News

U.S. Treasury To Ease Tax Rule on Unrealized Bitcoin Gains, Aiding Saylor’s Strategy

The U.S. Treasury and IRS have released an interim guidance, which highlights plans to ease…

October 1, 2025