In the weeks leading up to November 2023, non-fungible token (NFT) data showed a continuous upward move in weekly sales. While the volume is significantly far from its peak in 2021, executives in the sector think the upside momentum will continue.
On November 6, data released by blockchain analytics company Nansen revealed that NFT sales volume increased from $56 million in the week ending on October 9 to $129 million in the week that ended on November 6.
Based on Jonathan Perkins, the co-founder of NFT marketplace SuperRare, the trend will possibly continue in the coming months. The executive thinks that the worst has passed and is expecting upward movements soon. He stated:
“I think the worst of the NFT-hangover-induced bear market is behind us, and things are turning around. Marketplace volume will always be volatile, but I expect a massive upward macro trend in the next six months.”
Market Moving On Sentiment
Perkins also thinks that the downside movement in NFTs was “purely sentiment.” The SuperRare co-founder told reporters in a statement that in the last 18 months, nothing “inherently went wrong” with non-fungible tokens (NFTs). He added:
“NFTs are a fundamental advancement in the internet because they introduce traceable origin and ownership to digital objects. This unlocks a new online creator economy that can be 100x bigger than Web2.”
The executive also thinks that in the long term, non-fungible tokens will be a major part of the online economy, and the space will see massive volumes that “eclipse those of the last cycle.”
While commenting on the topic, Sonia Shaw, partner and vice president of partnership at CoinW digital asset exchange, stated that the recent growth in NFT sales reflects a “broader and more profound interest” that goes beyond art and collectibles. Shaw said that NFTs represent a considerable shift in physical and digital asset management. She commented:
“Their application in verifying the authenticity of unique and valuable items across industries is pivotal. […] NFTs are an essential part of the evolving digital economy, especially with their integration into Web3 and the metaverse.”
Shaw also said that possible use cases for non-fungible tokens may revolutionize industries like real estate, finance, identity management, real estate, and supply chain logistics. While the executive believes in the role of NFTs in advancing digital ownership, Shaw also said that it is important for gamers to also be mindful of these issues. It includes regulatory considerations, environmental impact, and security challenges.
Related:What Really Happened to NFTs?
In the meantime, the chief financial officer of NFT platform Enjin, Oscar Franklin Tan, echoed the sentiments. Making a case for non-fungible tokens, Tan highlighted that NFTs have already been developed as a distinct digital asset class fully separate from cryptocurrency.
The executive also said that most investors entering the digital asset sector back in 2021 were interested mainly in NFTs. Moreover, Tan also pointed out that NFT communities such as Azuki and Bored Ape Yacht Club (BAYC) have ‘remained intact’ despite the bear market.
As more investors join the crypto space, they might also eventually move into NFTs. Tan added:
“Renewed interest in Bitcoin and Ethereum will necessarily spread to blue chip NFTs and newer collections, including gaming NFTs.”
Nansen Data – NFT Sales Volume Spiked To $129M In November
NFTs have seen a steady increase in terms of weekly Ether (ETH) sales volume, based on the blockchain analytics platform Nansen.
In a tweet, Nansen highlighted that on the week ending on October 9, NFT sales were at 29,704 ETH, worth nearly $56 million at current ETH market prices. The sales volume surged weekly until it hit 68,342 ETH, worth over $129 million.
Blur NFT marketplace had the highest share of NFT trading volume in the past 30 days. Based on the NFTGo data aggregator, Blur had a trading volume of 161,433 ETH (nearly $305 million) in the past 30 days. In the meantime, the second spot went to OpenSea, which had 52,307 ETH in trading volume, worth about $100 million.
In terms of NFT collections, Bored Ape Yacht Club (BAYC) had the highest trading volume in the past 30 days. The BAYC collection had a volume of 35,226 ETH, or nearly $66.7 million. This collection was followed by The Captainz at 9,948 ETH and the Mutant Ape Yacht Club (MAYC) at 14,947 ETH.
CryptoPunks was the top collection in terms of market capitalization. Nonetheless, the collection only recorded a trading volume of 5,773 ETH in the past 30 days.
Besides these, NFTGo’s data also indicated that there has been a 12% surge in NFT traders in the past seven days. Buyer addresses reached 22,804, while sellers were 27,308 at the same time. In the meantime, the number of wallets that held NFTs was still about six million.
The growth in trading volume for NFTs happened amid somewhat bearish news for the non-fungible token market. On November 3, NFT marketplace OpenSea sacked half of its staff as it gets ready to launch its second version. Despite everything happening in the market, it seems investors are confident about the potential of NFTs and are ready to invests more funds in the sector.