According to CryptoPotato, the Non-Fungible Token (NFT) market has seen a significant decline in key metrics such as sales volumes, unique sellers, and buyers, according to data from Cryptoslam. This downward trend is believed to be influenced by the ongoing rough patch in Bitcoin markets.
In the second quarter of 2024, the NFT market experienced a significant drop in monthly volumes compared to the first quarter. Sales volumes in Q2 fell by 45% quarter-on-quarter. In Q1 2024, total sales volumes in the NFT market exceeded $4.1 billion, a substantial increase from the $2.9 billion recorded in Q1 2023. However, in Q2 2024, NFT volumes reported a quarterly volume of approximately $2.28 billion, the lowest since Q3 2023.
June 2024 saw a significant decline in the average sale price of NFTs, dropping from $193 in March to $78, a decrease of approximately 60%. By June 28, sales volumes were around $419 million, putting June on track to record the lowest sales values since October 2023. In May, sales volumes were just above $616 million, representing a drop of over 50% from April’s $1.2 billion.
The number of unique sellers and buyers also declined. In the first quarter, there were about 2,238,925 unique sellers, and the number of unique buyers stood at 3,316,014. In the second quarter, the number of unique sellers and buyers was 1,785,367 and 3,300,566, slightly down from those in Q1.
Despite the significant downturn, NFTs have achieved notable milestones in 2024. Solana-based NFTs surpassed $5 billion in all-time sales volume on February 23. Additionally, Bitcoin-based NFTs moved into the third position for all-time sales volume earlier this month, surpassing the Ronin network.
This decline in the NFT market has coincided with Bitcoin’s bearish trend; after peaking in March 2024, Bitcoin has struggled to regain its highs, dropping to as low as $57,000. At the time of this report, Bitcoin is priced at $61,327, with experts advising cautious accumulation of the cryptocurrency.
