The current surge in memecoin activity is driving a high demand on the Ethereum network, pushing gas costs up to a peak of 87 Gwei on May 2. This over-demand has caused an increase in user fees in the long run, as the network continues to experience a surge of transactions due to the hype around the upcoming Shanghai upgrade. However, the market has hit a slowdown, causing both the price and the market capitalization of ETH to drop. Currently, ETH is in a bearish trend, with a downward trending Average Directional Index (ADX) and a Relative Strength Index (RSI) below its signal line. All of this has put investors in a difficult position, as they would have to decide whether or not to sell their shares or wait for a better timing. Therefore, it is better to keep up with the market trends, be aware of the potential risks, and act accordingly.
Robert Ward
- 2023-05-05
Ethereum's Shanghai Upgrade: A Look at Its Market and Potential Risks
Learn about the current state of Ethereum's gas costs due to the upcoming Shanghai upgrade. Find out how the market is reacting and how it may affect investors.
![CandleFocus Ethereum-ShanghaiUpgrade-GasCosts-MarketTrends](https://images.candlefocus.com/Ethereums-Shanghai-Upgrade-A-Look-at-Its-Market-and-Potential-Risks.jpg)