2024 Sees Steepest Weekly Plunge in NFT Sales

In a significant development, the sales volume of non-fungible tokens (NFTs) witnessed a steep decline during the week spanning from January 20 to January 27, 2024. The sales plunged by 21.25% compared to the previous week, with major blockchains Ethereum and Bitcoin experiencing double-digit losses of 28.78% and 12.62%, respectively. This decline comes after a surge in NFT sales at the end of 2023, primarily driven by Bitcoin-based transactions. However, Ethereum has now regained its position as the leader in NFT sales volume, with $74.97 million recorded in the past week, marking a 28.78% decrease from the previous week. The overall decline raises questions about the future trajectory of NFT sales and whether this downward trend will continue or if there will be a resurgence in the market.

NFT Market Faces Sharp Decline

The non-fungible token (NFT) market experienced a sharp decline in the first month of 2024, with the week between January 20th and January 27th seeing the steepest weekly plunge in NFT sales. Sales volume dropped by 21.25% compared to the previous week, totaling $228,327,660. This decline follows a downward trend in NFT sales, with a 5.05% drop in digital collectible sales in the previous week.

Comparison to Previous Weeks

The decline in NFT sales during this period is significant when compared to the previous weeks of 2024. At the beginning of the year, NFT sales saw a slight dip of 1.31% before experiencing a marginal rise of 0.05% in the following week. However, the most recent week witnessed a substantial decline of over 21% in sales volume.

Total Sales Volume for the Week

During the week of the sharp decline, the total sales volume for NFTs reached $228,327,660. This significant drop in sales reflects the challenging period that the NFT market is currently facing.

Top Blockchains Experience Double-Digit Losses

The top blockchains in the NFT market all experienced double-digit losses during the week of the sharp decline. Ethereum, the leading blockchain in seven-day sales, saw a 28.78% decrease in NFT sales volume, amounting to $74.97 million. Bitcoin, on the other hand, experienced a 12.62% drop in sales, totaling $55.92 million. Solana secured the third rank with $53.69 million in sales, experiencing an 11.85% decrease. Polygon’s NFT sales claimed the fourth position with $15.66 million, but faced a significant 36.40% drop. Avalanche garnered $7.98 million in sales, with a notable 41.25% decline in its NFT market.

Ethereum Takes the Lead

While Bitcoin dominated NFT sales at the end of 2023, recent weeks have shown a shift in the market. Ethereum has reclaimed its position as the frontrunner in NFT sales volume, with $74.97 million in sales during the week of the decline. This marks a 28.78% decrease from the previous week.

Bitcoin Experiences a Significant Drop

Bitcoin’s NFT sales experienced a significant drop during the same period, with a decrease of 12.62% and a total sales volume of $55.92 million. This decline follows a 28.15% drop in Bitcoin-focused NFT sales the week before.

Solana, Polygon, and Avalanche See Decreases

Solana, Polygon, and Avalanche, which secured the third, fourth, and fifth positions in NFT sales volume respectively, all saw decreases during the week of the decline. Solana recorded $53.69 million in sales, experiencing an 11.85% decrease. Polygon’s NFT sales amounted to $15.66 million, but faced a significant 36.40% drop. Avalanche garnered $7.98 million in sales, with a notable 41.25% decline in its NFT market.

High-Ranking NFT Collections and Top Sales

In terms of high-ranking NFT collections and top sales during the week of the decline, the Cryptopunks series dominated sales with $13.67 million in sales. This marks an increase of 32.23% from the previous week. Bitcoin’s Uncategorized Ordinals experienced $9 million in sales, witnessing a 3.75% decline. Solana’s Froganas reported $7.04 million in sales, a significant increase of 420.77% compared to the previous week. Solana’s Cryptoundeads achieved $6.75 million in sales, but faced a 58.82% decrease. Avalanche’s Dokyo NFT collection registered $5.85 million in sales, experiencing a 33.70% drop in sales volume.

Highest-Priced Digital Collectibles

The highest-priced digital collectible during the week of the decline was Cryptopunk #6,940, which sold for $507,618. BNB’s Lockdealnft #18,858 realized a sale of $147,157, while an Axie Infinity NFT commanded a price of $143,559.

Challenging Period for NFT Sales

NFT sales faced a challenging period throughout 2022, with a downturn in sales volume continuing into most of 2023. While Bitcoin initially boosted overall sales in the NFT market, BTC-focused NFT sales have been on a decline recently, with a 28.15% drop the week before the sharp decline. Additionally, NFT sales based on Solana and Polygon have also encountered modest falls in their overall sales volume, suggesting a potential downward trend in the market.

Sales Trends in 2022 and 2023

Since 2022, sales of blockchain-based digital collectibles have faced a challenging period. Most of 2023 witnessed a downturn in NFT sales until the end of the year, when there was a surge in sales volume driven by Bitcoin blockchain-based NFT transactions.

Bitcoin’s Impact on NFT Sales

Bitcoin’s entry into the NFT sales arena initially boosted overall sales. However, recent weeks have seen a decline in Bitcoin’s NFT sales, indicating a potential change in the market’s dynamics.

Recent Trends for Solana and Polygon

Both Solana and Polygon showed an increase in NFT sales in the latter part of 2023. However, they have recently encountered modest falls in their overall digital collectible sales volume. The future trend for these blockchains in the NFT market remains uncertain, with the potential for either a continued decline or a resurgence in sales volume.