Despite falling NFT sales volume, there’s more underlying strength to the market than you’d think

Bearish sentiment in the crypto markets has trickled down to the NFT subsector.

Over the past 30 days, NFT sales volume across the top 10 blockchains has fallen, according to data from NFT aggregator CryptoSlam. The biggest decline recorded was around 80% on BNB, or $19.19 million, while the smallest decline was around 5% on Palm, or $1.96 million in sales volume.

“The NFT market has not been great, but there is still great momentum,” Nick O’Neill, CEO and co-founder of The Nifty, said to TechCrunch.

Why the sunny outlook when some NFT metrics are falling? Unit sales are almost flat month over month, placing them near peak all-time levels, O’Neill noted, while the average price of a sold NFT has imploded. “Based on my own data, the average NFT sale price on OpenSea has dropped from $1,714 in April to $214 in July, [an] 88% decline.”

It’s also hard to ignore bearish macro headwinds, O’Neill said. The majority of NFTs are Ethereum-based, and the average price of ether has fallen 28.7% from $1,514 to $1,080 over the past 30 days, which in turn has reduced the value of down NFTs tied to the cryptocurrency.

Source: TechCrunch