Written by: Shaofaye123, ForesightNews
Recently, the NFT trading platform Blur has seen consecutive weekly increases, with a monthly increase of nearly 80%. The NFT sector has shown unusual movements, with token monthly returns reaching 50%. The floor prices of blue-chip NFT series have rebounded by more than 30% in the past 7 days, and the NFT sector seems to be showing signs of recovery. However, compared to the increases in Ethereum ecosystem NFTs, Solana and BTC ecosystem NFTs still perform mediocrely.
This article will give you a quick overview of the recent Ethereum sector NFT data and briefly analyze the reasons for the warming.
Positive data for the Ethereum NFT sector
From the overall trend of the NFT sector, according to SoSovalue data, the NFT sector has performed well in the past month, with overall data gradually climbing. The monthly return on investment can reach 50%, but compared to the nearly 100% monthly return rates of popular narratives like PayFi, RWA, and AI, it still does not belong to the mainstream narrative of this round of speculation.
Image source: https://sosovalue.com/zh/assets/cryptoindex/NFT
According to CryptoSlam data, the overall sales volume of NFTs has also shown an upward trend. In October this year, the total trading volume of NFTs began to grow, breaking the trend of declining NFT monthly sales for seven consecutive months, reaching $356 million, a month-on-month increase of 18%. Additionally, the number of NFT transactions has gradually increased, with October's NFT transaction volume reaching 7.2 million, a 42% increase from September's 5 million. In November, NFT sales achieved significant growth once again, increasing by 57.8% compared to October, exceeding $562 million. Ethereum network sales exceeded $216 million, a 12% increase from October.
Image source: https://www.cryptoslam.io/nftglobal?timeFrame=month&headerPeriod=30d
Among them, CryptoPunks leads the NFT market with a 30-day sales volume exceeding $49 million, a month-on-month increase of nearly 400%. In addition, according to Blur data, the floor prices of blue-chip NFT series have rebounded by more than 30% in the past 7 days. The floor price of Bored Ape Yacht Club rose by 72% in the past 7 days, Pudgy Penguins by 29%, and Mutant Ape Yacht Club by 97%.
Compared to the recovery of the ETH NFT sector, the Solana NFT sector still performs mediocrely. According to CryptoSlam data, the CryptoSlam ETH NFT Composite Index, which measures the performance of the ETH NFT market, has rebounded nearly 40% in the past three months. In contrast, the Solana NFT Index has shown almost no fluctuations in the past three months and has decreased by 48% since the beginning of the year. The Solana NFT infrastructure TNSR and MPLX have also shown no significant increase.
Image source: https://www.cryptoslam.io/indexes/cseth
Ethereum is recovering, and liquidity is gradually overflowing.
Since the hype around Ethereum ETFs began, with net inflows into the ETFs continuously rising, the overall Ethereum ecosystem sector is slowly warming up. According to SoSovalue data, the number and days of net inflows into the Ethereum ecosystem are continuously increasing. The price of ETH has also risen accordingly, with nearly a 45% increase in the past month, rising from around $2500 to $3700. The staking sector Puffer has doubled in the past week, and EIGEN has also risen by 30% in a week.
Image source: https://sosovalue.com/zh/assets/etf/Total_Crypto_ETH_ETF_Fund_Flow?page=usETH
In addition to the rebound in exchange token prices, on-chain liquidity is also gradually overflowing. According to The Block data, Ethereum's on-chain monthly trading volume has gradually risen over the past three months, with November's trading volume reaching this year's peak at $183.7 billion.
Image source: https://www.theblock.co/data/on-chain-metrics/ethereum/ethereums-adjusted-on-chain-volume-monthly
Besides the recovery of Ethereum and the overflow of liquidity, the overall price of the NFT sector is at a relatively low level compared to previous years. Users who still hold NFTs for a long time may be less likely to sell during the early stages before the launch. From the perspective of circulation and supply, the NFT market may have certain potential. Additionally, with ME TGE approaching, Truemarkets predicts that market NFT attracting purchases from V God and other actions have also attracted significant market attention.
However, whether the NFT market can rise again cannot rely solely on temporary liquidity overflow. It requires further innovation, matching demand, and implementing real application scenarios to be effective.
