As the memecoin frenzy has died down, the Ethereum gas price dropped by over $12.
The first days of June witnessed a noteworthy decrease in the average gas fees or transaction fees on the Ethereum network.
This respite came in the wake of the heightened memecoin activities and maximal extractable value (MEV) bot operations that pushed fees to a multi-month high in May.
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Statistics from BitDegree show that the average gas fee dipped to $7.34, marking a significant reduction of nearly one-third from the previous month's high of $20.
Expressing the numbers in terms of "gwei," the daily median gas price fell to 24 gwei from a staggering peak of around 140 gwei in May.
In late April, the crypto market was flooded with a wave of memecoins. The trend became e central theme for the whole month of May, giving rise to numerous new memecoins, including but not limited to Aped (APED) and Bobo Coin (BOBO).
The memecoins craze caused an unexpected shift in the top 10 gas-burning altcoins. Instead of the usual Ether (ETH), Tether (USDT), or Wrapped Ether (WETH), memecoins like Troll (TROLL), APED, and BOBO emerged as the top spenders.
One contributing factor to this surge in Ethereum gas fees was the growing demand for memecoins on decentralized platforms. Centralized exchanges, in contrast, were slower in listing these new tokens.
However, the story of May wasn't solely about Ethereum and its memecoins; Bitcoin Ordinals also witnessed considerable attention. This led to the launch of numerous new memecoins on the Bitcoin network, with Pepecoin (PEPE) even reaching a market capitalization of one billion dollars.
Introduced in January, in less than six months, Bitcoin Ordinal inscriptions exceeded 10 million, with inscription fees skyrocketing by 700% in May to currently stand at 1,639 Bitcoin.
As the memecoin mania starts to recede, Ethereum's gas fees have relaxed, and Ordinals inscriptions have also experienced a significant decrease. In essence, this drop in Ethereum gas fees could be indicative of a more balanced crypto market environment moving forward.