NFT Market Sees Losses Exceeding Ethereum’s Monthly Decline: Blue-Chip NFTs Decline by Over 25% in a Month
Recent trends in the NFT (Non-Fungible Token) market have shown losses surpassing the decline in Ethereum’s value, which has experienced a 9.6% drop over the past month.
Prominent “blue-chip” NFTs, well-known and established within the market, have witnessed a significant decrease of more than 25% in their floor prices within the last month, according to data from Nansen.ai.
NFTs represent a unique category of cryptocurrency assets that confer ownership of tangible or digital items to the holder. The term “floor price” in the context of NFTs signifies the minimum price desired by a seller for an item within a collection. This figure is often used as an indicator of a collection’s popularity and perceived value.
Nevertheless, this metric can be susceptible to manipulation and may not consistently reflect the true market worth of an NFT. Various factors such as rarity attributes and prevailing market conditions contribute to price fluctuations.
On-chain data highlights notable declines in the floor prices of collections like the Bored Ape Yacht Club, down by 27%, and DeGods, which has seen a 55% decrease. Azuki, recognized for its rapid sale of ‘Elementals’ NFTs generating $38 million in June within a 15-minute timeframe, has experienced a 36% reduction in its floor prices.
In parallel, the Nansen NFT-500 index has encountered a 40% downturn year-to-date, while its Blue Chip 10 index has experienced a 33% decrease.
While the value of NFTs is often influenced by Ether prices, their devaluation has outpaced the decline of the underlying cryptocurrency. Over the past month, Ether’s value has dipped by 9.6%, and its growth over the last year has been modest, with a 1.9% increase as per CoinDesk Indices data.
However, the NFT market isn’t entirely bleak; some lesser-known collections have managed to achieve gains.
The last 30 days haven't been kind on NFTs…
— Nansen 🧭 (@nansen_ai) August 22, 2023
Many of the "Blue-Chip" NFTs have seen their floor price drop by more than 25%, with Azuki's continuing to decline since their Elementals launch
But it's not all bad, as some NFTs have been breaking the down-only trend… pic.twitter.com/2xeVu84uJs
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