Bitcoin Forum

Ethereum traders were feeling the pressure July 18 after average transaction fees on its network surpassed Bitcoin’s for the first time in history.
Full article on Bitcoinist (https://bitcoinist.com/ethereum-fees-higher-bitcoin-first-time/)

Etherum takes the biggest part off my investment list and it's really wow to hear such news. Meanwhile fees for bitcoin transactions are falling from May and the speed of transactions is growing; Etherum became more expensive. Now I wander to what kind of change it may lead.

At this rate we might see ETH fall behind on the crypto market's latest price rally. If ETH is having issues as what has Bitcoin has experience before then we might see a shift of funds from its holders as we have seen before in the market. We might see ETH in a loss while other cryptos are in a gain and fueling my guess is BTC is looking strong on how it break the 7,000$ price resistance while Ethereum quickly corrected back below at the 480$ level after staying at the 500$ level for a short while. Ethereum must now find their own way of unclogging their network before it will start to fall behind more.

If Ethereum will not be able to come up with something like Lightning but for smart contracts soon, it will be forced to become more centralized by bumping blocksize more and more so the only nodes left in their networks will be a few datacenters. Otherwise ETH will lose to centralized coins like EOS and Cardano soon. It's sad that altcoin fans never care about centralization and security, but eventually they will learn those values the hard way, when their coins will start behaving like banks.

Here it is necessary to take into account that in the last week the transaction fees on ethereum were strongly raised in price. The gas level for the transaction in the ethereum was periodically raised from the usual 21,000 to 150,000 or more. Accordingly, the total amount of commission fees increased. At the same time, due to the drop in the number of transactions in bitcoin, commission fees in recent months are falling. So this is not a good statistic for ethereum.

Last year -- in Bitcoin's case (and actually probably in Ethereum's too) -- there was a positive correlation between transaction fees and price. They rose together. All those claims that rising fees would cause declines in demand and price were wrong.

So, while this may seem like bad fundamental news, it won't even matter if the demand/hype is strong enough.


The Raiden Network (Ethereum's Lightning Network) is in development, and the Github (https://github.com/raiden-network/raiden) looks fairly active. Supposedly, they are on track for a Q3 mainnet release (https://www.reddit.com/r/raidennetwork/comments/8vd7am/git_weekly_update_22/).

Sharding seems pressing given the rate of growth, but I have no idea how far the core devs are with that...

I reckon no one read the article hehehe. There is someone sending spam transactions in the platform and it's causing higher fees and network clogging. The transaction fees paid for spamming is $15 million in total.

In any case, there have been rumors about an ICO that holds billions worth of dollars in ETH that wants to take Ethereum's spot as the leader for smart contracts. Dan Larimer's EOS. If EOS is designed to take on Ethereum then attacking Ethereum by slowing it down would be a very good move.

I was rooting for Ethereum as well. I had high hopes for Ethereum however hearing about this saddens me. This may make them fall behind unless they do something about it. Transaction fees are a big deal and no one would be willing to continue using it if bitcoin is significantly cheaper to use despite the other features ethereum offers. Holders of ETH may now choose to make a change of investment because this may make the price of ETH go down. With the price of BTC finally hitting a price of $7K after being really low for a long period of time, it sounds like investing in BTC will be a more viable option.

Do you guys understand what happens to Ethereum as of late? There are accusations that EOS is doing a attack, similar to what we have seen Bitcoin Cash doing to Bitcoin last year.

(https://ethereumworldnews.com/eos-accused-attacking-ethereum/)

So it looks like someone is spamming Ethereum network, that's why their network clogged resulting in higher fees. (really sounds familiar, isn't it). So I'm not surprised by the fee's, if its deliberate or not, remains to be seen.

Sounds really familiar as to what happen to bitcoin and bitcoin cash last year. Well we have yet to see then if EOS is really the one behind the attack to clog the network and make it more expensive. For now, it is more favorable for people to use bitcoin in transaction instead of ethereum.

If EOS is guilty of such accusation then it sure will affect then their reputation. Bitcoin cash has a good image then before but because of what they have done, its value subside then.

It's impossible to point out who does what, even when it comes to the spam happening on Bitcoin's network. We can only assume big blockers are responsible for that, but there is nothing that actually points towards them. What if a group of whales are responsible for these spam attacks? Or financial institutions trying to make Bitcoin look bad? There are too many suspects, but no concrete evidence.

BCash has never had a good reputation. They first premine the shit out of that coin, and then mess up badly during the 'official' launch. People as stupid as they were have imported their Bitcoin private keys in unsafe clients they didn't bother to verify, didn't bother to move their Bitcoin before claiming the fork coins, etc.

What's even worse was how a part of the miners temporarily left Bitcoin to allocate their gear to mine BCash. In order to book a few profits they pretty much sacrificed a piece of Bitcoin's network security. Assholes.

funny how the prime flippening/bitcoin killer candidate has the exact same problem when someone does the exact same thing.  

just goes to show how dim altcoin shils are when they claim their coin will replace bitcoin because it's 'better'. in all cases 'better' means no one is using it.

ETH should take it as a compliment and get to work addressing it.



EOS has a good reputation?

EOS, ETH, BCash all share the same fundamental flawed assumptions for scaling, which will lead to their implosion.

If you're holding any of these beyond a short-term flip, I'd reconsider.

https://hackernoon.com/the-ethereum-blockchain-size-has-exceeded-1tb-and-yes-its-an-issue-2b650b5f4f62

Oh, and if you think "sharding" is going to help ETH -- it won't.

Also, Proof-of-(mis)Stake coins have fundamental issues and flaws too -- https://medium.com/@hugonguyen/proof-of-stake-the-wrong-engineering-mindset-15e641ab65a2

Don't say I didn't warn you...

I really don't see a "WOW" factor here .
It is a reason of concern and to fear for etherneum . Things like this has happened in the past with bitcoin which led to a number of unconfirmed transactions and high mining fees . The network was conjusted and so was the volume . If this happens with etherneum , there will be a down fall for sure which can still be notices in the market right now . Etherneum needs to cope with this difficulty and must evolve some methods to deal with this .

It's just momentum. It's more important that Ethereum looks too centralized than Bitcoin. And this centralization may at long last lead that SEC may change its stance and may start considering ETH as a security. And it'll be epic game!

Of course EOS will not admit what they have done. But its all over the ETH news and I'm sure that the reddit user will not spill the beans if he doesn't have proof to back it up. Anyways, I'm sure that ETH will fight back so its going to be a long battle. As for Bitcoin Cash having a good image, I completely disagree, we all know who are the people behind and we all know their intentions and up to now they are still promoting themselves as the real Bitcoin Ver and his minions are really trying to create a schism amongst bitcoin enthusiast.

And the bad news immediately affected the price of Ethereum unlike other news where it is just obly rumors high fees and a clog network can really affect ETH's prices as we can expect that traders would trade their holdings to a cryptpcurrency with low network fees and a much more stable price. Currently ETH fell behind to 466$ where BTC even rallied up above 7,400$ before it fall backs down again  around the 7,300$. Expect a lot more traders shofting there funds from ETH to mostly BTC.

Nah. Most people using Ethereum right now are noobs and airdrop chasers -- they will pay the high fees because the rewards are much higher than that. Only when the fees become so high that they eat up all their rewards people will start to ignore it. Altcoins went down because there was no reason for them to increase anyway. It was Bitcoin's time to shine and altcoins are nothing more than parasites thriving on its prey. They don't deserve to increase in value because there haven't been any positive developments. Ethereum in my book is still extremely overvalued. I can't wait for EOS to suck life out of Ethereum....

Always works on this way where a certain project would target out another project it would make up things that can really put the other coin down and i completely agree about the comparison of current situation of ETH and EOS to the previous ones which do happen to BTC with BCH. It do repeats and nothing to be surprised of since this would be always having a competition among to these projects competing out and biting up some market share.

I think it's not for long ...
The number of bitcoin transactions has now decreased several times, and this is due to correction. But as soon as the bitcoin rate starts to rise and starts to rise - we'll see how bitcoin will again take the first place in the commission for the transaction.

the SEC didn't wait years to state ETH is not a security, only to flip on that later. not gonna happen. anyway, this isn't a game/competition. any coin being deemed a security is bad for all parties involved.


it's in worse shape than BTC (scale-wise) but we're both in the inefficient "linear scaling" boat.


i mostly view altcoins as a way to generate bitcoins. however, i think "parasite" is the wrong way to think of them. actually, the relationship is quite symbiotic.

the vast majority of altcoin volume is in alt/BTC markets: all that BTC liquidity could be BTC supply pushing the BTC/fiat markets down. if altcoins didn't exist, there would be a lot more BTC supply pushing the price down. by removing liquidity, altcoin markets remove BTC supply and therefore increase BTC price.

EOS will suck the life out of Ethereum when Dan starts selling its billions held in ETH in Bitfinex for USDT and bitcoin, while pumping EOS at the same time. It was only a few weeks ago when EOS have sent all of their ETH to the exchange and left only 100,000 in one of their wallets.

In any case, Dan Larimer is ready to dance hehehe.

don't worry,with the increased amount of transactions and a price rise
bitcoin transaction fees are going to take that away from etherium very soon
but gas prices are getting way too high,this way ETH may lose some of its gambling clientelle
who were choosing etherium over bitcoin due to the fastest and cheap transactions