[Blockchain Today Correspondent Yohan Park] Non-fungible tokens in the cryptocurrency space are experiencing a major decline, as NFT sales peaked at the beginning of last month and fell by 90%, Cointelegraph reported.
According to Protos data, sales in all categories are rapidly declining, and the NFT market is showing an internal slump. NFT sold $120 million worth in one day on the 3rd (local time), but only $19 million was sold last week. About $170 million worth of NFTs were sold before and after the 7-day high, and after that it has declined by nearly 90%.
The number of NFT wallets showing signs of daily activity also fell from 12,000 accounts to 3,900 accounts, a 70% decline since early May. The movement of NFT sales and wallets is showing a downward trend in all tokens, including games, decentralized finance, collectibles, arts, utilities, rebirth and sports.
Cryptocurrency collectibles were the most purchased NFTs during the market’s peak, down only 66% over the past month. The second most popular NFT sector is related to sports tokens, which is the most resilient sector during the market decline, but since early May, the number of active wallets has decreased by 55%.
According to the current data of Nonfungi.com, collectibles (CryptoPunks) and sports (Sorare) tokens, which processed the most in the past 7 days, account for nearly 40% of the total NFT size.
Protoss analysts have concluded that the NFT bubble has already burst. “All things considered, the NFT bubble appears to have lasted for four months, and it appears to have burst in May,” they wrote.
NFTs followed the tokenization movement, ICO phase, DeFi and output farming, and became the latest fad in the cryptocurrency space earlier this year, causing the same type of hype and disruption. Depending on an individual’s ability to be optimistic, NFS could be the hottest new tech invention emerging in the blockchain space, or an absolute disaster in the noisy but worthless cryptocurrency space.
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