Many people thought that Ethereum would not stay strong even when the network was less busy. According to Matrixport’s most recent report, the price of ETH has stayed the same even though gas prices are at an all-time low.
So, what is it that stops Ethereum from taking off? The answer might not just be based on the basics.
Why isn’t Ethereum falling with gas fees so low?
An interesting development in the cryptocurrency space is highlighted in Matrixport analyst Markus Thielen’s July 9, 2025, “Chart of the Day” report.
Ethereum, the second-largest altcoin by market cap, has kept its price high even though its transaction fees, or gas fees, are at an all-time low.
These fees have gone down from 36 Gwei to almost nothing since April 2024, even though the price of Ethereum has been between $1,400 and $3,800. Even though there isn’t much activity on the network, this amazing price stability has made people interested in the cryptocurrency market.
What’s driving Ethereum’s unexpected strength?
After a March network update, Ethereum’s gas fees decreased to almost undetectable levels, sometimes even approaching zero.
The price of Ethereum has not broken steadily lower, despite notable price swings on the right axis of the price curve. This stability in value demonstrates the altcoin’s resilience even in the face of weak fundamental indicators derived from transaction fees.
According to Markus Thielen, this strength is a performance that goes beyond what is expected based on fundamentals. The data shows that the market is currently driven by a different set of dynamics, as the lull in Ethereum’s network activity hasn’t been enough to pull its price down.
How are institutions influencing ETH price trends?
Thielen claims that substantial price support is provided by some companies’ adoption of Ethereum as a treasury asset. Additionally, a significant amount of stablecoin issuance still takes place on the Ethereum network, preserving its crucial use.
Thielen also emphasized the importance of the US “GENIUS Act” negotiations, which have given Ethereum institutional structural significance. The altcoin giant has been further boosted by July’s historically strong seasonality.
Investors with long positions in ETH are advised by Matrixport analysts to think about $2,500 as a crucial stop level in order to safeguard their capital.
It’s not just a coincidence that Ethereum’s price stays stable. It has a lot of institutional support, is important to the ecosystem, has a good policy climate, and is strong at certain times of the year. It might seem like Ethereum’s use is down because gas fees are low, but the bigger picture tells a different story.
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