Gas Buddy analyst Patrick De Haan said on Monday that the national average could soon hit $1.99, with $1.49 on the horizon and some stations potentially pricing a gallon of regular as low as 99 cents.
The last time prices dropped below $1.60 was in December 2008 during the financial crisis, after falling from a July high of $4.10.
The current plummeting prices are due to a perfect storm of a recent increase in production in Saudi Arabia and Russia and the dramatic decrease in demand caused by measures to control the spread of the coronavirus (COVID-19) around the world.
The U.S. average hit $2.24 on Tuesday, down $.20 from a month ago, with Oklahoma prices the lowest at $1.84 and Hawaii highest at $3.47. Ten states currently have prices below $2.00.
California’s price remains the highest in the continental U.S. at $3.29, but De Haan said even thee it is likely to hit $1.99 in the coming weeks if current trends continue.