Mainnet transfer costs only $0.0017! Ethereum gas fees hit a historic low—Is now a good time to trade?

On-chain analyst Yujin released the latest data on December 5, showing that ETH mainnet gas prices have dropped to an unprecedented 0.025 Gwei. This means that a simple Ethereum transfer now costs only $0.0017 in fees.

Even more surprisingly, as mainnet fees hit rock bottom, transaction fees for several major Ethereum Layer 2 scaling solutions (such as Arbitrum and Optimism) remain between $0.0055 and $0.0079—three to five times higher than the mainnet.

01 New Fee Lows: Current State of Ethereum Mainnet

Ethereum mainnet gas fees have now fallen to astonishing levels. According to on-chain data from December 5, ETH mainnet gas prices are just 0.025 Gwei, setting a historic low.

This means a standard mainnet transfer costs only $0.0017 in fees. In stark contrast, fees on mainstream Layer 2 networks currently range from $0.0055 to $0.0079.

As of the latest data on December 8, base fees on some networks within the Ethereum ecosystem remain extremely low. For example, Arbitrum Nova’s base fee is 0.01 Gwei.

02 Role Reversal: Why Are Layer 2 Fees Higher Than Mainnet?

This “reversal” in fee structure is uncommon in Ethereum’s history. Typically, Layer 2 solutions are designed to be cheaper than the mainnet due to their efficient transaction processing.

The current situation may be the result of multiple factors. A significant decrease in mainnet activity has directly led to lower base fees. This “cold” on-chain environment reflects a broader sense of market caution among traders and investors.

Meanwhile, Layer 2 networks may have maintained relatively stable user activity, so their fees haven’t dropped in sync. When demand for block space exceeds supply, users compete by offering higher priority fees to ensure faster transaction processing.

03 Background Evolution: From High Fees to Affordability

The change in Ethereum gas fees didn’t happen overnight. Looking back at 2024, the average gas price was as high as 72 Gwei, but by 2025, it had dropped to 2.7 Gwei—a decrease of over 96%.

This revolutionary shift began with the Dencun upgrade, which reduced Ethereum gas fees by 95% overall.

Previously, users had to pay as much as $86 for simple token swaps, while now the average is just $0.39. NFT transaction fees have also dropped from $145 to $0.65.

04 Fee Structure: Understanding How Ethereum Gas Works

To fully capitalize on the current low-fee environment, it’s important to understand the basic structure of Ethereum gas fees. Gas in Ethereum is the “fuel” that powers the network, measuring the computational work required to execute transactions and smart contracts.

The current gas fee system operates under the EIP-1559 protocol, with fees consisting of two parts: the base fee and the priority fee.

The base fee is the minimum cost per unit of gas required for a transaction to be included in a block, and it adjusts dynamically based on network demand. This portion of the fee is permanently burned, creating deflationary pressure on ETH.

The priority fee (also known as a “tip”) is an extra amount users pay to validators, incentivizing them to process transactions faster. During network congestion, higher tips increase the likelihood of rapid confirmation.

The formula for calculating total gas fees is: Total Miner Fee = (Base Fee + Priority Fee) × Gas Units Used.

05 Strategy Adjustments: How to Trade in a Low-Fee Environment

Given the current mainnet fee advantage, traders can adjust strategies to maximize returns. For simple transfers and low-complexity swaps, consider executing directly on the mainnet rather than defaulting to Layer 2 networks.

A low gas environment significantly reduces the cost of on-chain spot rebalancing, arbitrage, and DeFi portfolio adjustments. This lowers the breakeven point for small transactions and strategy rotations, making more trading strategies viable.

Set a maximum fee cap below 1 Gwei to lock in cheap execution during low-cost periods. Compare routing options with the $0.0055 to $0.0079 Layer 2 price range to select the most economical solution.

06 Tool Usage: Monitoring and Optimizing Gas Fees

Effectively monitoring gas prices is key to optimizing trading costs. Etherscan remains the industry-standard gas tracking tool, providing real-time base fee and priority fee suggestions, as well as historical trend visualizations.

Platforms like ETH Gas Station offer advanced features, including gas price forecasting and transaction cost calculators for different operations. Users can estimate exact costs before confirming transactions and avoid unnecessary fees.

Gas price heatmaps help identify the best times to transact—fees are typically 25% to 40% lower on weekends compared to weekdays. Early morning hours (UTC) usually offer the lowest fees.

07 Market Impact: Long-Term Implications of Low Fees for the ETH Ecosystem

Extremely low gas fees may have complex effects on the Ethereum ecosystem. On the positive side, this lowers the barrier to entry for users and could encourage more on-chain activity.

As more users realize that simple operations on the mainnet are now cheaper than on Layer 2, they may reconsider their transaction routing choices. This could temporarily shift activity distribution between Layer 2 and the mainnet.

However, such low gas fees also mean that validator tip income decreases, which could temporarily affect the yield assumptions of ETH staking strategies. Stakers may need to reassess their return expectations and the pricing of capital costs.

If this low-fee environment persists, it could signal that Ethereum is undervalued, drawing traders’ attention to support levels near recent lows. Historical data shows that periods of low gas prices often precede network revivals.

Seize the Opportunity

With Ethereum mainnet gas fees at historic lows, whether transferring assets or participating in more complex DeFi operations, costs have dropped to unprecedented levels.

These extremely low fees not only make life easier for everyday users, but also create a unique cost advantage window for traders and investors.

The reversal in fee dynamics between Layer 2 and the mainnet reminds us that in the crypto world, nothing is permanent. When most people are used to the idea that Layer 2 is always cheaper, reality may have quietly shifted. Staying flexible and choosing the optimal transaction path based on real-time data is the smart move for every participant.