The NFT business is not at its peak. In January, there were sales on OpenSea – one of the largest NFT marketplaces – for close to $5 billion in January. The year before, it was close to $8 million. However, last month it declined to $2.5 billion. From here, we see NFT is not at its peak.
Last month on the NFT marketplace, there were about 635,000 sales. The average NFT was sold at $427, according to CryptoSlam. In January, the average NFT sold was about 948,000 for about $659. That is a big difference in price and value.
Companies are still gravitating to the “metaverse,” where digital assets such as virtual land and avatar clothes may be bought for cryptocurrencies as NFTs. Among the businesses that have opened companies based on NFTs are JPMorgan and HSBC. Another two companies also with NFT plans include YouTube and Instagram.
A digital art collector from Miami, Pablo Rodriguez-Fraile, said “Obviously the enthusiasm and interest that we had at some periods last year is not here anymore. I think we achieved something that wasn’t sustainable.”
NFTs, just like other forms of digital currency, are volatile. Volatility can likely be why NFTs are not at their peak, along with other variables. The head of digital assets at Bonhams, Nima Sagrarchi believes in contrast to the traditional art world, NFTs can go from bull markets to bear within a span of a week.
An NFT from a collection of Art Blocks initially would’ve been $415,000 in September 2021. However last month according to CryptoSlam it stood at $4,200. Furthermore, the Bored Ape Yacht Club NFT may still be sold for around $300,000. It all depends. Although NFT is not at its peak we hope that we will see the light.