Blue-chip NFT collections struggle as market shrinks

By Raffaele Redi

The sales volume of non-fungible tokens has fallen to $3bn over the past month

BAYC NFTs on screen                                 
The Bored Ape Yacht Club NFT series has seen a big drop in its floor price on the market over the last 30 days – Photo: Shutterstock
                                

The non-fungible token (NFT) market shrank over the past 30 days as the recent crypto upheaval sparked by the depegging of terraUSD (UST) dragged blue-chip NFT projects down, with the floor price of major ollections slipping by more than 50% in some cases.

NFTs sales volume dropped by 15% to around $3bn over the last 30 days, according to CryptoSlam as of 12:00 BST (UTC +1) today. In particular, the NFT weekly sales volume dropped to levels last seen in May 2021 – before the NFT boom started last year.

The Block reported the weekly NFT trade volume fell to slightly more than $44m for the week ending 22 May 2022, far below the $1.07bn figure recorded for the week ending 22 August 2021.

Blue-chip NFT collections, such as Bored Ape Yacht Club (BAYC), saw the number of traders fall drastically to just more than 16,000 for 29 May compared with the peak witnessed on 8 January 2022 of 69,916, according to NFTGO, with most collectors holding their NFTs rather than trading them at a loss after ETH dropped below the $2,000 level this week.

Blue-chip collections struggling

Over the past 30 days, blue-chip collections, such as BAYC and Mutant Ape Yacht Club (MAYC) created by Yuga Labs, lost around 50% in floor price, as reported by DappRadar.

While BAYC floor price fell 46% to around $165,340, MAYC floor price dropped 54% to around $32,120. In addition, Crypto Punks – acquired by Yuga Labs from Larva Labs – witnessed a 48% drop in their floor price to $85,590.

Another popular collection witnessing a drastic decline in its floor price was the Azuki, while Moonbirds was one of the few to buck the down trend.

The market capitalisation of blue-chip NFT collections has also fallen drastically. According to the NFTGO Blue-Chip Index – which is calculated by weighting the market cap of blue-chip collections to reflect their performance – was at 11,488 for 30 May compared with the peak of 14,892 seen on 29 April. 

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