January 19 News, for years, high Ethereum Gas fees have been a pain point that users and developers cannot avoid. During the 2021 bull market and the 2024 NFT boom, an ordinary ETH transaction often cost dozens of dollars, and the costs of complex operations soared, discouraging many users.
This situation underwent a fundamental change in 2026. According to the latest data from Etherscan, as of January 2026, the average Gas fee on Ethereum has dropped to about $0.01. The sharp decline in fees is not due to decreased network usage but results from key changes in the technical architecture. The Fusaka upgrade completed at the end of 2025, the official deployment of PeerDAS, and the widespread adoption of Layer 2 solutions have collectively significantly alleviated mainnet congestion, gradually transforming Ethereum into an efficient, low-cost settlement layer.
The downward trend in Gas fees has also reshaped the competitive relationship between ETH and Solana (SOL). In the past, Solana held an advantage with low fees and high throughput. Now, Ethereum no longer lags in transaction costs, and the competition focus has shifted to security, decentralization, and ecosystem maturity. Although Solana still has speed advantages in some scenarios, the core shortcoming of Ethereum’s “high fees” has been substantially eliminated.
It is worth noting that low Gas fees also introduce new variables. Due to the weakening of the transaction fee burning mechanism, the rate of ETH supply destruction has slowed, and the network is currently in a slight inflationary state. However, on-chain activity provides more convincing signals. On January 17, 2026, Ethereum processed 2.6 million transactions in a single day, setting a new record, while the network continued to operate smoothly without another spike in fees.
On the market side, as of press time, ETH price is $3,319.87, up slightly by 0.62% in 24 hours; meanwhile, SOL is at $142.26, experiencing a 1.23% pullback. Ethereum co-founder Vitalik Buterin recently stated that the overall Web3 architecture proposed as early as 2014 is gradually becoming a reality.
In 2026, Ethereum is not only completing scalability but also re-establishing its long-term value as a core blockchain infrastructure based on low cost and high security.
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