The crazy world of NFTs has taken the crypto world by storm in the last 12 months, and while they aren’t liked by everyone, they’ve captured the interest of most people owing to the sheer volume and variety of projects sprouting up in the area.
The most popular NFTs are frequently the most valuable, with purchasers spending hundreds of thousands to millions of dollars to purchase an NFT – sometimes related to a community – that they may either keep or trade for a profit later (or loss). But how liquid is the blue-chip NFT market?
According to NFT data aggregator CryptoSlam, the top 50 blue-chip NFT collections have seen multimillion-dollar sales in the last seven days. During that period, the top ten NFT collections alone brought in nearly $500 million in trades from 19,468 different purchasers, according to the data.
Many NFT holders, however, have stated that this demand is accompanied by inherent risk and market instability, among other variables that will play a role in the development of these digital collectibles and their liquidity.
It’s also worth noting that the number of high-roller NFT buyers is typically smaller than the larger NFT market, but PROOF Collective’s new – and possibly blue-chip – Moonbirds NFTs were officially minted on April 16 and accounted for the majority of the sales tracked by CryptoSlam over the last seven days, raking in $297 million across 10,813 buyers. (A mint occurs when a digital file is converted into an NFT or digital asset on a blockchain, often Ethereum or Solana, and its data is permanently preserved on the blockchain.)
Even with Moonbirds, there were over 10,000 purchases on April 17, the day after its introduction. However, according to CryptoSlam statistics, that number had dropped to just 296 on April 19. The floor price, or the cheapest amount of money you may pay for a digital item in the collection, has also dropped by about 16 percent in the last 24 hours.
“The difficulty is that when prices fall, they fall rapidly,” said Nick O’Neill, CEO and co-founder of The Nifty, to TechCrunch. “This is especially true in NFTs.” Prices can change substantially when consumers get anxious.”
To read our blog on “‘The NFT stuff is about to bust,’ predicts Nassim Nicholas Taleb,” click here.
