The non-fungible marketplace witnessed unparalleled traction and hype in the cryptocurrency community last year. However, the narrative was different in 2022.
NFTs’ 2021 explosive growth could not be consistent, somewhat leveling during the initial five months of this year. What does the monthly NFT market report card reveal about the ongoing scenario?
The 2022 crypto market crash translated to faded investor interest as far as NFTs are concerned. non-fungible tokens sales dropped by over 54% during the previous week, with the crypto market recording a sharp drop.
Moreover, the week had NFTs sale volume hitting $25 million, reflecting a 54.6% drop from earlier in the week (NonFungible.com data).
Also, NFTs secondary sales, average NFT value, and total NFT sales plunged, losing 56.7%, 41.8%, and 22.2%, respectively. Another crucial index to consider is Trends. The non-fungible token term hit 26 in May’s final days, a 74% slump from highs of 100 touched in January this year.
Meanwhile, the demise affected individual platforms. For instance, the leading NFT marketplace, OpenSea, is valued at around $13 billion amidst the traction, following a new $300 million funding round.
Moreover, the data revealed a mixed case. OpenSea noted a surge in NFT daily trading volume until forming a peak as January ended. Nevertheless, the metric resorted to downtrends. While publishing this blog, the daily sales volume stood at $30 million.
Other platforms also revealed similar narratives. May’s last couple of days saw the overall monthly volume hovering around $4 billion, showing a 75% drop from January.
LooksRare stayed competitive regardless of modifications to its token rewards, handling sales volume worth over $2 billion from a few transactions.
Moreover, LooksRare saw significant activity, including individuals transacting NFTs to themselves to receive LOOKS tokens. Thus, a lower transaction count still made $2 billion, half OpenSea’s sales volume during the timeframe.
About the Hype
Considering March and the latest stats reveal no substantial activity besides the downside trajectory. The former saw some bullish thesis die to the hype but failed to maintain the buzz. Both NFT marketplaces saw their daily volumes a substantial decline.
Stay tuned for upcoming news.
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