The NFT trading frenzy that began on July 31 has eased to some of the major collectible projects.
Declining sales volumes of several major NFT projects suggest NFT trading cools after the frenzy, data from CryptoSlam.
Non-fungible tokens became popular this year after the internet adopted them as decentralized ownership certificates for digital or physical assets. NFT sales exploded in February, but the excitement around them soon waned after the market became oversaturated.
Things picked up on NFT’s collectible projects at the end of last month. The mini-bull race began on July 31, when a sudden surge of interest in CryptoPunks avatars pushed the four-year project’s daily trading volume from $1.8 million to $41.5 million in one week; the average price of 8-bit avatars increased by 53%.
The CryptoPunks’ commercial frenzy has subsided since then, sales are down 73 percent this week. But his brief outbreak helped other crypto-collectibles reach the top.
Last month, sales of Art Blocks increased 710% to a total of nearly $200 million. Sales of NFT art, which are computer-generated according to a random seed phrase, increased another 50% last week, topping another $61 million. Last night, the Chromie Squiggle #3784 sold for 750 ETH ($2.3 million), the project’s biggest sale to date.
NFT Trading Cools After Frenzy
But the gold spell is starting to wane for other collectible projects that got a commercial boost thanks to CryptoPunks.
A popular CryptoPunks impersonator, the Bored Ape Yacht Club collectible project, became the second best-selling NFT avatar project this week; sales soared 153% last month and the cheapest NFT rose from 10 ETH on Aug. 3 to 15 ETH on Aug. 10, a floor that remains today. But the ascension was short-lived. While sales are up 149% this month, they are down 49% this week.
And sales of Meebits, a crypto-collectible project by CryptoPunks creators Larva Labs, have dropped 70.43% this week, undoing part of their monthly peak of 336.52%.
While negotiations may slow down, high-priced NFT sales are unlikely to end anytime soon. Christie’s will auction Bored Ape NFTs next month along with CryptoPunks and Meebits NFTs. Rare NFTs run into the millions, and auction houses tend to sell only the rarest.