Ethereum Gas Fees Plummet 95% Post-Dencun, Price Drops 53%

Ethereum's gas fees have plummeted by 95% in the year following the Dencun upgrade, which went live on March 13, 2024. This upgrade aimed to improve scalability and lower fees for layer-2 networks. According to YCharts, the average gas fee has decreased from 72 gwei in 2024 to just 2.7 gwei as of March 12, 2025. Etherscan data indicates that average swaps now cost $0.39, and NFT sales average $0.65, compared to $86 and $145 a year ago. Despite the reduction in gas fees, Ether's price has dropped by 53% since the upgrade. On March 13, 2025, ETH was trading around $1,891, down from over $4,070 in March 2024, according to CoinMarketCap. The upcoming Pectra upgrade also faced issues, with errors detected on the Sepolia testnet after its deployment on March 5, 2025. While developers have addressed these issues, concerns remain about Ethereum's long-term market position.