diff --git a/packages/editor-ui/src/components/canvas/Canvas.vue b/packages/editor-ui/src/components/canvas/Canvas.vue
index b72c8065f4ab1..84997b70f62fa 100644
--- a/packages/editor-ui/src/components/canvas/Canvas.vue
+++ b/packages/editor-ui/src/components/canvas/Canvas.vue
@@ -1,13 +1,13 @@
 <script lang="ts" setup>
 import type { CanvasConnection, CanvasElement } from '@/types';
-import type { NodeDragEvent, Connection } from '@vue-flow/core';
+import type { EdgeMouseEvent, NodeDragEvent, Connection } from '@vue-flow/core';
 import { useVueFlow, VueFlow, PanelPosition } from '@vue-flow/core';
 import { Background } from '@vue-flow/background';
 import { Controls } from '@vue-flow/controls';
 import { MiniMap } from '@vue-flow/minimap';
 import CanvasNode from './elements/nodes/CanvasNode.vue';
 import CanvasEdge from './elements/edges/CanvasEdge.vue';
-import { onMounted, onUnmounted, useCssModule } from 'vue';
+import { onMounted, onUnmounted, ref, useCssModule } from 'vue';
 
 const $style = useCssModule();
 
@@ -36,6 +36,8 @@ const props = withDefaults(
 
 const { getSelectedEdges, getSelectedNodes } = useVueFlow({ id: props.id });
 
+const hoveredEdges = ref<Record<string, boolean>>({});
+
 onMounted(() => {
 	document.addEventListener('keydown', onKeyDown);
 });
@@ -68,6 +70,14 @@ function onKeyDown(e: KeyboardEvent) {
 		getSelectedNodes.value.forEach(({ id }) => onDeleteNode(id));
 	}
 }
+
+function onMouseEnterEdge(event: EdgeMouseEvent) {
+	hoveredEdges.value[event.edge.id] = true;
+}
+
+function onMouseLeaveEdge(event: EdgeMouseEvent) {
+	hoveredEdges.value[event.edge.id] = false;
+}
 </script>
 
 <template>
@@ -82,6 +92,8 @@ function onKeyDown(e: KeyboardEvent) {
 		:max-zoom="2"
 		data-test-id="canvas"
 		@node-drag-stop="onNodeDragStop"
+		@edge-mouse-enter="onMouseEnterEdge"
+		@edge-mouse-leave="onMouseLeaveEdge"
 		@connect="onConnect"
 	>
 		<template #node-canvas-node="canvasNodeProps">
@@ -89,7 +101,11 @@ function onKeyDown(e: KeyboardEvent) {
 		</template>
 
 		<template #edge-canvas-edge="canvasEdgeProps">
-			<CanvasEdge v-bind="canvasEdgeProps" @delete="onDeleteConnection" />
+			<CanvasEdge
+				v-bind="canvasEdgeProps"
+				:hovered="hoveredEdges[canvasEdgeProps.id]"
+				@delete="onDeleteConnection"
+			/>
 		</template>
 
 		<Background data-test-id="canvas-background" pattern-color="#aaa" :gap="16" />
diff --git a/packages/editor-ui/src/components/canvas/elements/edges/CanvasEdge.spec.ts b/packages/editor-ui/src/components/canvas/elements/edges/CanvasEdge.spec.ts
new file mode 100644
index 0000000000000..207efa6bab6c2
--- /dev/null
+++ b/packages/editor-ui/src/components/canvas/elements/edges/CanvasEdge.spec.ts
@@ -0,0 +1,42 @@
+import { fireEvent } from '@testing-library/vue';
+import CanvasEdge from './CanvasEdge.vue';
+import { createComponentRenderer } from '@/__tests__/render';
+
+const renderComponent = createComponentRenderer(CanvasEdge, {
+	props: {
+		sourceX: 0,
+		sourceY: 0,
+		sourcePosition: 'top',
+		targetX: 100,
+		targetY: 100,
+		targetPosition: 'bottom',
+	},
+});
+
+describe('CanvasEdge', () => {
+	it('should emit delete event when toolbar delete is clicked', async () => {
+		const { emitted, getByTestId } = renderComponent();
+		const deleteButton = getByTestId('delete-connection-button');
+
+		await fireEvent.click(deleteButton);
+
+		expect(emitted()).toHaveProperty('delete');
+	});
+
+	it('should compute edgeStyle correctly', () => {
+		const { container } = renderComponent({
+			props: {
+				style: {
+					stroke: 'red',
+				},
+			},
+		});
+
+		const edge = container.querySelector('.vue-flow__edge-path');
+
+		expect(edge).toHaveStyle({
+			stroke: 'red',
+			strokeWidth: 2,
+		});
+	});
+});
diff --git a/packages/editor-ui/src/components/canvas/elements/edges/CanvasEdge.vue b/packages/editor-ui/src/components/canvas/elements/edges/CanvasEdge.vue
index 0d9d4617899df..fec9d28ef21b9 100644
--- a/packages/editor-ui/src/components/canvas/elements/edges/CanvasEdge.vue
+++ b/packages/editor-ui/src/components/canvas/elements/edges/CanvasEdge.vue
@@ -2,16 +2,19 @@
 /* eslint-disable vue/no-multiple-template-root */
 import type { Connection, EdgeProps } from '@vue-flow/core';
 import { BaseEdge, EdgeLabelRenderer, getBezierPath } from '@vue-flow/core';
+import CanvasEdgeToolbar from './CanvasEdgeToolbar.vue';
 import { computed, useCssModule } from 'vue';
-import { useI18n } from '@/composables/useI18n';
 
 const emit = defineEmits<{
 	delete: [connection: Connection];
 }>();
 
-const props = defineProps<EdgeProps>();
+const props = defineProps<
+	EdgeProps & {
+		hovered?: boolean;
+	}
+>();
 
-const i18n = useI18n();
 const $style = useCssModule();
 
 const edgeStyle = computed(() => ({
@@ -19,8 +22,19 @@ const edgeStyle = computed(() => ({
 	...props.style,
 }));
 
-const edgeLabelStyle = computed(() => ({
-	transform: `translate(-50%, -50%) translate(${path.value[1]}px,${path.value[2]}px)`,
+const isEdgeToolbarVisible = computed(() => props.selected || props.hovered);
+
+const edgeToolbarStyle = computed(() => {
+	return {
+		transform: `translate(-50%, -50%) translate(${path.value[1]}px,${path.value[2]}px)`,
+	};
+});
+
+const edgeToolbarClasses = computed(() => ({
+	[$style.edgeToolbar]: true,
+	[$style.edgeToolbarVisible]: isEdgeToolbarVisible.value,
+	nodrag: true,
+	nopan: true,
 }));
 
 const path = computed(() =>
@@ -60,24 +74,24 @@ function onDelete() {
 		:label-bg-style="{ fill: 'red' }"
 		:label-bg-padding="[2, 4]"
 		:label-bg-border-radius="2"
+		:class="$style.edge"
 	/>
 	<EdgeLabelRenderer>
-		<div :class="[$style.edgeToolbar, 'nodrag', 'nopan']" :style="edgeLabelStyle">
-			<N8nIconButton
-				data-test-id="delete-connection-button"
-				type="tertiary"
-				size="small"
-				icon="trash"
-				:title="i18n.baseText('node.delete')"
-				@click="onDelete"
-			/>
-		</div>
+		<CanvasEdgeToolbar :class="edgeToolbarClasses" :style="edgeToolbarStyle" @delete="onDelete" />
 	</EdgeLabelRenderer>
 </template>
 
 <style lang="scss" module>
 .edgeToolbar {
-	pointer-events: all;
 	position: absolute;
+	opacity: 0;
+
+	&.edgeToolbarVisible {
+		opacity: 1;
+	}
+
+	&:hover {
+		opacity: 1;
+	}
 }
 </style>
diff --git a/packages/editor-ui/src/components/canvas/elements/edges/CanvasEdgeToolbar.spec.ts b/packages/editor-ui/src/components/canvas/elements/edges/CanvasEdgeToolbar.spec.ts
new file mode 100644
index 0000000000000..6968ac58a4a47
--- /dev/null
+++ b/packages/editor-ui/src/components/canvas/elements/edges/CanvasEdgeToolbar.spec.ts
@@ -0,0 +1,16 @@
+import { fireEvent } from '@testing-library/vue';
+import CanvasEdgeToolbar from './CanvasEdgeToolbar.vue';
+import { createComponentRenderer } from '@/__tests__/render';
+
+const renderComponent = createComponentRenderer(CanvasEdgeToolbar);
+
+describe('CanvasEdgeToolbar', () => {
+	it('should emit delete event when delete button is clicked', async () => {
+		const { getByTestId, emitted } = renderComponent();
+		const deleteButton = getByTestId('delete-connection-button');
+
+		await fireEvent.click(deleteButton);
+
+		expect(emitted()).toHaveProperty('delete');
+	});
+});
diff --git a/packages/editor-ui/src/components/canvas/elements/edges/CanvasEdgeToolbar.vue b/packages/editor-ui/src/components/canvas/elements/edges/CanvasEdgeToolbar.vue
new file mode 100644
index 0000000000000..c7d287aa4b86d
--- /dev/null
+++ b/packages/editor-ui/src/components/canvas/elements/edges/CanvasEdgeToolbar.vue
@@ -0,0 +1,42 @@
+<script lang="ts" setup>
+import { useI18n } from '@/composables/useI18n';
+import { computed, useCssModule } from 'vue';
+
+const emit = defineEmits<{
+	delete: [];
+}>();
+
+const $style = useCssModule();
+
+const i18n = useI18n();
+
+const classes = computed(() => ({
+	[$style.canvasEdgeToolbar]: true,
+}));
+
+function onDelete() {
+	emit('delete');
+}
+</script>
+
+<template>
+	<div :class="classes" data-test-id="canvas-edge-toolbar">
+		<N8nIconButton
+			data-test-id="delete-connection-button"
+			type="tertiary"
+			size="small"
+			icon="trash"
+			:title="i18n.baseText('node.delete')"
+			@click="onDelete"
+		/>
+	</div>
+</template>
+
+<style lang="scss" module>
+.canvasEdgeToolbar {
+	display: flex;
+	justify-content: center;
+	align-items: center;
+	pointer-events: all;
+}
+</style>