ETHGas, known as GWEI, experienced a sharp decline of over 10% within 24 hours, hitting an all-time low of 0.042 GWEI. This token reflects Ethereum's gas fees, which have fallen alongside reduced network congestion and user activity.
Trading volume mirrored this downturn, plunging nearly 50% to $20 million. Both retail and institutional investors responded by selling their GWEI holdings across centralized and decentralized exchanges. Retail traders primarily offloaded assets on PancakeSwap, OKX, and Bitget, while major exchanges like KuCoin and Gate shifted millions of tokens from cold to hot wallets, signaling preparation for further sales.
In total, over 50 million GWEI tokens, valued at approximately $1.4 million, changed hands in one day, excluding smaller retail transactions. Exchange balances rose by around 3.7 million tokens, underscoring growing sell pressure.
Market Indicators and Potential Rebound
GWEI has dropped roughly 92% since its late June peak near $0.25. The token's volume moved from positive 5.37 million to negative 9.15 million, marking a significant distribution phase. Despite breaking below a broadening wedge pattern and sustaining a bearish trend, technical signals like a recent MACD crossover suggest some buying interest might be returning.
Still, recovery largely hinges on increased Ethereum network usage pushing gas fees higher. Interestingly, NFT sales have maintained higher gas fees, showing some sectors still demand Ethereum's resources.
With network activity low, GWEI’s price remains suppressed, but the token could gain ground if Ethereum's user engagement rises again.
