NFT market down 92% offers contrarian opportunity
The NFT market has experienced a significant decline, with global sales volume down 92% from its January 2022 peak, according to data from CryptoSlam.
At the height of the NFT boom, high-profile collections like Bored Ape Yacht Club (BAYC) and CryptoPunks sold for millions of dollars, and the market peaked at over $6 billion in monthly sales.
However, by early October 2024, NFT sales had dropped to just $100 million.
The rapid rise of NFTs in 2021 was fueled by an abundance of market liquidity, with low-interest rates and widespread adoption of blockchain ecosystems like Bitcoin, Ethereum, Solana, and BNB Chain.
Since then, the market has been in a downward spiral, with both 2022 and 2023 marked by declining sales figures.
Despite the current state of the market, some analysts believe that this could be the ideal time to invest in NFTs.
Nick Tomaino, founder of 1confirmation, shared his view on X, stating, "The total market value of the entire NFT asset class is ~$4.9B, down over 92% from the peak in 2022. Nothing has changed long-term. Building and investing in NFTs now is the ultimate contrarian and right bet."
However, this strategy carries risks.
CryptoSlam reports that the number of unique buyers and sellers has slowed, and while prices slightly recovered from September 2023 to early 2024, overall interest in NFTs continues to decline.
In September, sales fell to $296 million, down from $373 million in August, marking a near 70% drop from December’s $1.7 billion.
Ethereum (CRYPTO:BTC) remains the dominant platform for NFT trading, with over $44 billion in NFT sales, but regulatory pressures and the potential for further declines in crypto prices could impact future activity.
If Ethereum’s price falls below $2,100, analysts warn that NFT trading could take another hit.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
New spot margin trading pair — HOLO/USDT!
FUN drops by 32.34% within 24 hours as it faces a steep short-term downturn
- FUN plunged 32.34% in 24 hours to $0.008938, marking a 541.8% monthly loss amid prolonged bearish trends. - Technical breakdowns, elevated selling pressure, and forced liquidations highlight deteriorating market sentiment and risk-off behavior. - Analysts identify key support below $0.0080 as critical, with bearish momentum confirmed by RSI (<30) and MACD indicators. - A trend-following backtest strategy proposes short positions based on technical signals to capitalize on extended downward trajectories.

OPEN has dropped by 189.51% within 24 hours during a significant market pullback
- OPEN's price plummeted 189.51% in 24 hours to $0.8907, marking its largest intraday decline in history. - The token fell 3793.63% over 7 days, matching identical monthly and yearly declines, signaling severe bearish momentum. - Technical analysts cite broken support levels and lack of bullish catalysts as key drivers of the sustained sell-off. - Absence of stabilizing volume or reversal patterns leaves the market vulnerable to further downward pressure.

New spot margin trading pair — LINEA/USDT!
Trending news
MoreCrypto prices
More








