As the value of Ethereum spikes to new heights and becomes fully congested, one swap trading on the network now cost as high as $300. Currently, the average commission has now reached its highest mark of $51, which is more than its record high of $20 back in February.
Experts suggest that the main reason behind the growing congestion is primarily because of some joke coins that have managed to organize occasional pumps and dumps. A new entry on Binance – the world’s largest crypto exchange – Shiba Inu (SHIB), which claims to be Elon’s favorite Dogecoin’s killer in the crypto market, is proving to be the main killer of Ether.
However, there is a growing skepticism around these coin tokens as people are cashing in just because they are hoping others will join in, calling it a sign of the local top. On the other hand, Ethereum’s rally is being considered more like a correction course.
Besides that, amid the growing congestion, many decentralized apps have moved to the 2nd layer, dYdX. Reportedly, Uniswap might be the next one to do so later this year and is expected to lower the transactions significantly.