Beginner question about transaction fee

[XEN_Protocol]

Right now I can see that Ethereum has fee is very high and it's annoying, I thought after the Ethereum upgrade the gas will be lower? Ethereum is at 1500$ imagine what will happen at 10,000$ per Ethereum.

Main Question

Assuming I hold 0.001 ETH mainly for a gas fee only and the value was 0.56$ then price surge up, is the increment going to be on the Sats? E.g ( 0.002 ETH ) or the increment is going to be on the value? E.g 0.001 ETH = 1.06$?

[dbshck]

It's still expensive but much cheaper compared to its peak during ETH DeFi/NFT mania back in 2020-2021. At that time, executing a swap or mint transaction could cost tens of dollars with no guarantee of success which is really frustrating.

Main Question

Assuming I hold 0.001 ETH mainly for a gas fee only and the value was 0.56$ then price surge up, is the increment going to be on the Sats? E.g ( 0.002 ETH ) or the increment is going to be on the value? E.g 0.001 ETH = 1.06$?

No, if the price of ETH increases, the increment will be reflected in the dollar value of your 0.001 ETH (from 0.56$ to 1.06$) and not in the amount of ETH you hold.

[Jawhead999]

On Ethereum blockchain, it is Ethereum aka ETH.

You pay fee in BTC or ETH but transaction fee value can be higher and more expensive if BTC and ETH becomes more expensive.

The smallest unit of Ether is Gwei, 1 Gwei = 0.000000001 ETH.

Just to be clear:
If you use BTC, you will pay fee in BTC, there's no way for you to pay in ETH.
There's no relation between other network fee with BTC and ETH network.

Assuming I hold 0.001 ETH mainly for a gas fee only and the value was 0.56$ then price surge up, is the increment going to be on the Sats? E.g ( 0.002 ETH ) or the increment is going to be on the value? E.g 0.001 ETH = 1.06$?

The increment will going to be on the Gwei, no the sats (Bitcoin) or the value.

In Ethereum network the calculation is using this formula: Total Gas Fee = Gas units (limit) x (Base fee + Tip) [1]. But I'm not really understand how to explain it, usually people will pay the fees based on the wallet calculation (low, medium, fast), not customized.

[1] https://bitkan.com/learn/how-to-calculate-eth-gas-fees-3496

[vv181]

I thought after the Ethereum upgrade the gas will be lower?

Ethereum's recent Merge is not developed to reduce the transaction fee. The Merge is a process of consensus switch between proof of work into proof of stake. The recent upgrade is widely known for being intended to reduce fees, which is actually a misconception.

The issue is also addressed on the Ethereum website itself. You can learn more deeply about what is the upgrade all about and what is the next step that truly designed to reduce fees. Take a look at https://ethereum.org/en/upgrades/merge/#misconceptions.

Main Question

~

The value.

[coinerer]

When Ethereum price will increase then the gas fee will increase automatically. Which has been seen before.  When the price of ethereum rose above 4000 gas fees were also very high. So if we use ethereum or ethereum network then it has to be accepted. The market started pumping again and the price of Ethereum crossed 1500$.  And 7.5% pumped today too

[klidex]

We shouldn't have to worry so much about what transaction costs will increase if the price of ETH increases.
If an investor keeps ETH and then the price increases then the investor gets a profit and if it's just a matter of transaction fees going up, I think it's still a balance because he has also made a profit.
Costs that have increased will also break even or be paid with transactions that we make can run smoothly without any obstacles.

[iv4n]

I guess the question is why Ethereum? I am not using Ethereum for a while, and I don't feel like I am missing anything... simply there are much better platforms around, and I get the same (if not more) from them! Ethereum I have and I get (from some passive income) waits for some price increase (if it happens), but as a user, I always choose other chains and I will not go back to Eth and Eth Dapps and tokens on that chain. Just because of the fess in the past, I can't get over that...

[o48o]

Right now I can see that Ethereum has fee is very high and it's annoying, I thought after the Ethereum upgrade the gas will be lower? Ethereum is at 1500$ imagine what will happen at 10,000$ per Ethereum.

Main Question

Assuming I hold 0.001 ETH mainly for a gas fee only and the value was 0.56$ then price surge up, is the increment going to be on the Sats? E.g ( 0.002 ETH ) or the increment is going to be on the value? E.g 0.001 ETH = 1.06$?

What upgrade are you tarking about? The Merge wasn't supposed to lower transaction costs. And you don't have to imagine what happens when the chain is overload. Just take a look what happened when eth was $4k. Only rich people were able to use it. They were also making ton of money but fees were just too much for anyone who didn't want to spend another $100 just for fees and hope that their transactions went trough. I used so much extra just because i wanted smart contract transactions to go trough.

[lobo13hf]

the fee will definitely increase only in dollar value but usually when it's bullish, the fee of eth will also increase anyway since the gas fee more likely goes up if majority are trying to get their transaction first in line since it's been known that in the bullruns the transactions in the blockchain usually increase. This is the exact reason why so many 2nd layer solution are still flourishing until this day, it's because ETH just hardly could solve their high fees.

[blockman]

You haven't seen the time when transaction is more than the high fee recently.
But anyway, I am still expecting the fees to be quite high as it seems despite the network upgrade, when the network is full and totally clogged again then it will result with another problem to be that much. However, what's good now is if the fee is at high in cents then that is much better than before.

[shinratensei_]

We shouldn't have to worry so much about what transaction costs will increase if the price of ETH increases.
If an investor keeps ETH and then the price increases then the investor gets a profit and if it's just a matter of transaction fees going up, I think it's still a balance because he has also made a profit.
Costs that have increased will also break even or be paid with transactions that we make can run smoothly without any obstacles.

that's really not good statements honestly, if this fee become seemingly high then ethereum should take care of it.
saying that the fee will get covered up with the increase in value is such weak statements in attempt to ignore the real problems that eth have.
there's reason why BSC and other similar smart contract exists because many considers the fee is already too high and the value of their investments increase is not a solution.

[sheenshane]

Right now I can see that Ethereum has fee is very high and it's annoying, I thought after the Ethereum upgrade the gas will be lower? Ethereum is at 1500$ imagine what will happen at 10,000$ per Ethereum.

Once a network experience heavy traffic or a very congested network, it is expected that there will be a high fee and slow transaction because there's always prioritization of miners.

Main Question

Assuming I hold 0.001 ETH mainly for a gas fee only and the value was 0.56$ then price surge up, is the increment going to be on the Sats? E.g ( 0.002 ETH ) or the increment is going to be on the value? E.g 0.001 ETH = 1.06$?

Sats?  We're not talking about Bitcoin, they're totally different from the Ethereum network.
It's (WEI) a denomination of ETH.

Yes, it's the value that the fee always matters.
For a better understanding read this how transactions of Ethereum work and what is GAS.

[dothebeats]

Transaction fee will always depend on the inputs/outputs that takes satoshis into account. There are some wallets that base the fees on the value of the coin but those already have some additional fees embedded to it. So even if the price of ETH goes up or down, fees will remain pegged to satoshis, and it's best to learn how to play with that in order to not get burned by just the fees alone. You also have to take into consideration what time you're sending funds to and from one address. It plays a vital role to not transfer funds during peak hours.

[AmoreJaz]

Right now I can see that Ethereum has fee is very high and it's annoying, I thought after the Ethereum upgrade the gas will be lower? Ethereum is at 1500$ imagine what will happen at 10,000$ per Ethereum.

Once a network experience heavy traffic or a very congested network, it is expected that there will be a high fee and slow transaction because there's always prioritization of miners.

Main Question

Assuming I hold 0.001 ETH mainly for a gas fee only and the value was 0.56$ then price surge up, is the increment going to be on the Sats? E.g ( 0.002 ETH ) or the increment is going to be on the value? E.g 0.001 ETH = 1.06$?

Sats?  We're not talking about Bitcoin, they're totally different from the Ethereum network.
It's (WEI) a denomination of ETH.

Yes, it's the value that the fee always matters.
For a better understanding read this how transactions of Ethereum work and what is GAS.

i was also confused when i first read his post. and then it registered to me that he is new in this market. if he will read his thread and try to learn things about crypto, he won't be asking some questions not related to the network. in any case, i hope he will at least check the links provided by the users here to at least get a good grasp about tx fees under eth. and maybe other networks as well. in time, he will understand more how to interact with different networks and how to take advantage of their existence.

btw, i use this link to check the gas fee under eth - https://etherscan.io/gastracker, and right now as compared to months before, we are already having low fees.

[TastyChillySauce00]

Right now I can see that Ethereum has fee is very high and it's annoying, I thought after the Ethereum upgrade the gas will be lower? Ethereum is at 1500$ imagine what will happen at 10,000$ per Ethereum.

As long as scalability got increase and it will be able lowering the gas. The scalability upgrade has become the update that in demand by so many people. You can expect the gas price will increase while ethereum will be also increasing the price as well. That's happened in 2021 when ethereum reached its ATH. The fees became so high.

Main Question

Assuming I hold 0.001 ETH mainly for a gas fee only and the value was 0.56$ then price surge up, is the increment going to be on the Sats? E.g ( 0.002 ETH ) or the increment is going to be on the value? E.g 0.001 ETH = 1.06$?

The price will be summed based on the current value. That means if you need to pay 0.001 that is worth $1.06 after it got increase. You have need to paid the same decimal but different fiat value caused by there was a spike in the price of ethereum.

[OcTradism]

Paying low fees in Ethereum - Gas Limit, Gas Price and Gwei
ETH/ERC20 - Check and select good Gas price
Enough guides to check and select good Gas price for your Ethereum or ERC20 token transactions from two topics.

With Ethereum transactions, you can cancel them or replace them with higher transaction fee.
[GUIDE] How to cancel or replace an ETH transaction (Metamask, MEW, MyCrypto)

With Bitcoin transactions
Bitcoin Transaction Size Calculators
Make sure to avoid wasting BTC for too high fees – step by step guide (Electrum)
How to cancel Bitcoin transaction?
[TUTORIAL]getting a low-fee transaction unstuck by creating a CPFP with electrum

[klidex]

We shouldn't have to worry so much about what transaction costs will increase if the price of ETH increases.
If an investor keeps ETH and then the price increases then the investor gets a profit and if it's just a matter of transaction fees going up, I think it's still a balance because he has also made a profit.
Costs that have increased will also break even or be paid with transactions that we make can run smoothly without any obstacles.

that's really not good statements honestly, if this fee become seemingly high then ethereum should take care of it.
saying that the fee will get covered up with the increase in value is such weak statements in attempt to ignore the real problems that eth have.
there's reason why BSC and other similar smart contract exists because many considers the fee is already too high and the value of their investments increase is not a solution.

However, if the market experiences an increase and asset prices start to rise with a high addition to each smooth transaction without the slightest problem, then investors are not concerned if the fee is a little higher.
However, if the price of the asset increases significantly, many investors and traders will sell and it is certain that each sales transaction will be slightly disrupted or take a longer time. However, each transaction can run smoothly without any delay, so the amount of fee given is slightly higher. big I don't think will be a problem.

[yhiaali3]

The smallest unit of Ethereum is called Gwei, not Sat. However, the value of Gwei, which is the gas required to send an Ethereum transaction, changes constantly depending on the state of the network. Currently, the value of gas required for an Ethereum transaction is 17 Gwei.

The value of Gwei ranges from 3 to 50 sometimes depending on the state of the network. Therefore, the required value of Ethereum varies according to the value of Gwei, and this necessarily leads to a difference in the value of the required gas according to the price of Ethereum as well.

Therefore, to reduce the transaction fee, you must constantly monitor the number of Gwei required for gas and choose the times when this value is low.

[Bobrox]

You can't change fees regulation from Ethereum actually with cold wallet network sending, last years we having FTX Exchange market with lower fees for sending ethereum. First time I used with that exchange without paying any fees although upgrade later depending how gwei transaction fees but still lower than other exchange market.

I don't thing with ethereum only, but also Bitcoin will adopted with new fees later depending price going up or not and not always stable with current fees transaction right now. When ethreum price dropping I sure fees transaction will drop or lower than usually right now and not consistency with the same values about ETH sending fees.

[GreatArkansas]

Right now I can see that Ethereum has fee is very high and it's annoying, I thought after the Ethereum upgrade the gas will be lower? Ethereum is at 1500$ imagine what will happen at 10,000$ per Ethereum.
(.....)

Take note that the recent update of Ethereum which is "The Merge" is not about the gas fee will become lower, it's different. The Merge was the transition from the Proof-of-stake (POS) to the proof-of-work (POW) mechanism of the network.
Issue here is the network traffic and which I also notice is correlated also with the price of Ethereum, like if we see pumping, the transaction fees also pumping.
I believe in the future, Ethereum will become scalable and we will see more lower transaction fees.