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Despite the drop in prices, the buying pressure increased, as more investors look to purchase the NFT at lower prices.
As cryptocurrencies continue their sell-off, NFT floor prices have also crashed. Initially, many investors turned to NFT collections as the crypto market rout gained momentum. According to a Bloomberg report, “the NFT market had been a bright spot relative to the rest of assets in the crypto space during the market rout.”
However, the situation has now changed. One of the most affected NFT collections is the Bored Ape Yacht Club (BAYC) NFT, a favorite among celebrities. To date, the collection has yielded over $2.2 billion in trading volume, with the NFT attracting seven-figure sales.
As of April 2022, the cheapest BAYC NFT cost 152 ETH ($429,000). Data from NFT PRICE FLOOR suggests that the cheapest BAYC NFT is currently trading at $87,000 (72 ETH), its lowest since August 2021. This price amounts to over a 75% drop in value since April.
Dwindling NFT Floor Prices
It isn’t just BAYC NFT floor prices that are down. Several other top-rated NFT collections have also seen their NFT floor prices dwindle. For example, the second-largest NFT collection, Crypto Punks, is currently trading at 48 ETH compared to 66.9 ETH in February. Also, Newer NFT, Moonbird, has lost about 32% of its value in USD in the last 30 days alone.
There are suggestions that the falling prices of Ether may have contributed significantly to the dwindling NFT floor prices. Ether came dangerously close to hitting the $1000 mark on Monday after the market crashed to new lows. Others have suggested that the recent announcement of a possible attack by Yuga Labs’ co-founder may also have prompted the selloff.
Regardless, BAYC remains the largest NFT project with a market capitalization of about $1.7 billion.
Time and Chance
Despite the drop in prices, the buying pressure increased, as more investors look to purchase the NFT at lower prices. Within the last 24 hours, 26 BAYC NFTs were sold. This marks a 116% increase from the previous day. Also, BAYC’s daily volume jumped by 50%, with over $2.6 million traded in 24 hours. Considering that BAYC has seen its Discord and Instagram hacked with many investors losing their NFTs, this seems to be a curious development.