Consumers have noticed cheaper gas prices lately and the average price for a gallon of gas in the U.S. has dropped below $3.50 a gallon for the first time since March, motor club AAA said.

AAA said that the average price of $3.49 per gallon Tuesday is the lowest average price reported on this date in four years.

The average price per gallon has fallen steadily for the past month, AAA reported.

"We're in good shape because of domestic production, we're also in good shape because it looks as though the first half of the year was a little bit front-end loaded in terms of demand. We probably saw higher demand than we might ordinarily see in June, maybe as a vestige of the longer winter that we had," said Tom Kloza, the chief oil analyst for Gasbuddy.com.

Kloza added that although there's still violence and tensions in the Middle East and Russia, the supply of oil is very ample and that's helped keep oil prices from rising.

Kloza predicts that demand for gas will fall in September or early October, which will lead to even lower prices. He said Americans will see prices "that match the fall lows that we've seen in the last few years, which is to say you're going to be able to find some stations for less than $3 and maybe the average price will be somewhere between $3 and $3.25."

One thing that could lead to rising gas prices, however, would be hurricanes in the Gulf. That could send prices climbing, and that's why Kloza can't predict how much prices will drop in the next 40 days.

The lowest gas prices can be found in South Carolina where GasBuddy.com reported an average price of about $3.19 per gallon. California has the highest price gas in the lower 48 U.S. states with an average price of about $3.93.