The data shows that both Bitcoin and Etherium have seen an increase in transaction fees over the past few days as holders rush to sell in a crash.

Fees for bitcoin and etherium transactions have increased

A “transaction fee” is an amount that users who transact on a network must pay to send a transfer.

Depending on the crypto network, either the transaction fee or the entire portion goes to the miners (or verifiers).

When a large number of transactions occur on the network and the mempol gets stuck, these miners start prioritizing the transaction with the maximum fee attached to them.

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At such times, users who want to speed up their transfers and do not get stuck waiting for a higher fee.

If network activity increases, users begin to pay higher fees for competing with others, thus leading to an increase in network average shooting.

As pointed out by an analyst in a CryptoQuant post, Bitcoin has noticed a big increase in transaction fees per transaction as the price of cryptocurrencies has fallen.

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The chart below shows this trend.

Bitcoin fee per transaction

Looks like the average fees on the BTC network spiked up yesterday | Source: CryptoQuant

Much like BTC, the Ethereum blockchain has seen a huge increase in demand in the past few days as investors rushed to sell during the crash.

Here is a chart showing the trend of ETH meaning maximum fee per gas in the last few weeks:

Ethereum maximum fee per gas

The value of the metric seems to have been raised over the past couple of days | Source: CryptoQuant

The “maximum fee” is the fee per gas that users can add to the Ethereum network when submitting a transaction.

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BTC and ETH prices

At the time of writing, the price of Bitcoin is about $ 22k, down 25% in the last seven days. Last month, crypto prices fell 25%.

The chart below shows the trend of currency prices in the last five days.

Bitcoin price chart

BTC went to as low as below $21k before rebounding back to the current level of $22k | Source: BTCUSD on TradingView

For Etherium, Crypto is now trading around 1.2k, down 32% from last week. The monthly loss for the currency stands at 41%.

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Below is the price chart of ETH for the last five days.

Ethereum price chart

ETH went down to a low of less than $1.1k during the crash over the past couple of days | Source: ETHUSD on TradingView
Featured image from Unsplash.com, charts from TradingView.com, CryptoQuant.com