The High ETH Transaction Fees are impacting Market Price of The Mineable Ethereum Token.
A higher mining cost equals a higher potential token price for BSOV, the mineable and deflationary cryptocurrency (ERC20 + ERC918)
The Mining Cost/Market Price Precedence made by Bitcoin (BTC)
Investopedia.com answers this question in the above link to their article, among the other answers: There is one extremely important answer.
Answer: “The cost of producing a bitcoin through the mining process.“
The Bitcoin Miners do not want to sell their mined BTC with a loss, so their reluctance to sell at a low price drives the BTC-price upwards. As long as BTC’s Mining Difficulty rises, the intrinsic value of BTC will rise, as well as the cost of attacking it.
ETH-Fees as another cost factor of BSOV’s Mining Process
BSOV is a Mineable & Deflationary-by-Design ERC20 token which shares many similar characteristics to Bitcoin (BTC). All of the 21 million max supply of BSOV have to be minted through Proof-of-Work (PoW) mining. At the time of writing this, only 3.8 million BSOV have been mined.
BSOV is similar to Bitcoin, but also quite different. The mining process is done through the BSOV Smart-Contract (ERC20+ERC918) itself, and involves making an ETH-Transaction, and sending the the correct solution which is computed by your mining hardware. For instance, look at the latest minting which was done today at Etherscan Block Explorer for the BSOV Smart-Contract:
The production cost of these 50 BSOV came to a minimum of $0.047 per BSOV. Now we haven’t even included the electricity cost and cost of mining equipment, and they vary a lot, but if you now compare the BSOV price chart at Coingecko and the Gas-price chart at Etherscan, then you might see some correlation:
The ETH-Fees is a dynamic and ever-changing indicator of value for BSOV, as well as BSOV’s own Mining Difficulty, all the Timelocked BSOV in SovCube.com, the burnt BSOV from the deflationary mechanism, and BSOV’s Liquidity at exchanges, such as Uniswap, and last, but not least — The holders who embrace the low token velocity of BSOV, and treat it like a Store-of-Value, just like intended.