NFT token trading volume has dropped significantly over the past month
Interest in non-fungible tokens among investors has decreased significantly in the last 30 days.
The trading volume of NFT's largest collections has visibly decreased over the last month. Based on data from The Block, only 6 of the top 20 NFT collections by market capitalization saw a noticeable increase in trading volume over the past month. Many popular digital collections have seen their turnover decline. The size of these decreases is estimated from 20% to 99% in a 30-day range.
NFT trading volume has decreased significantly recently
The market related to non-fungible tokens has suffered a significant decline. This situation concerns both the prices of digital collector's items and the overall trading volume. Over the past month, interest in the most popular NFT collections among traders related to the crypto asset industry has visibly decreased.
Data from the well-known platform The Block shows that only 6 out of the 20 largest collections of non-fungible tokens by market capitalization have recorded any increase in trading volume in the last 30 days. Other of the most recognizable NFT tokens recorded from 20% to as much as 99% decrease in trading activity.
An example that fits well into the situation presented above is the NFT belonging to the CryptoPunks collection from Yuga Labs. These tokens saw their trading volume drop by more than 60% in just one month. Other popular collections of non-fungible tokens, such as Mutant Ape Yacht Club (MAYC) or Otherdeed, recorded a decrease in the volume of trade by approximately 20% and 53%, respectively.
Another set of NFT tokens from Yuga Labs - Sewer Pass, which until recently occupied the 9th position in terms of overall market capitalization, recorded a decrease in turnover over the last month by as much as 99.16%. However, this negative phenomenon did not affect the entire sector of non-fungible tokens. This is because another popular collection, namely Bored Ape Yacht Club (BAYC), experienced an increase in activity from traders. Over the last month, the volume of trading in these tokens has increased by over 24%.
As for the price increase of the most popular NFTs in the same period, only 4 out of 20 largest projects experienced this effect. An increase of 2.37% was recorded, among others, by CryptoPunks. It is worth noting that also in this case there was a decrease in the volume of trade.
The NFT token sector was increasing in value in early 2023
Based on a report analyzing the first quarter of this year, which was created by DappRadar, the trading volume of non-fungible tokens increased in this respect by as much as 137% to USD 4.7 billion. It was the best result achieved since the second quarter of 2022. This was primarily due to the general increase in the value of the leading digital currencies. Moreover, it is worth adding that the sale of NFT tokens in the past quarter increased by about 8.5% compared to the fourth quarter of 2022.
When it comes to blockchains on which NFT tokens are traded, Ethereum has remained the dominant trading platform in the non-fungible tokens space. In March this year, the Ethereum network had as much as 90% of the total trading volume on the NFT market. As of today, the second place in this space is occupied by the Solana network.