Good day everyone,
I hope you are all having a good day, welcome to CryptoGod-1's blog on all things crypto. In this post I will be looking at the recent comments of NFT collector Pranksy, who believes NFT's are far from dead yet.
Pranksy's View
A popular and well known non-fungible token (NFT) collector Pranksy has recently shared his thoughts on his optimism for the future of the NFT space, while also countering a growing narrative of their decline. Pranksy is known for being an early NFT investor who has built a large following and collection, and on his social media 'X' account he asked his followers in a recent post about the last time they purchased an NFT. The post managed almost 118k views and more than 500 replies, prompting Pranksy to state that the NFT space is still living and breathing. He noted:
“500 genuine replies, there is life in the old girl yet.”
While Pranksy retains his optimism over the level of replies and life in the NFT space, the data from CryptoSlam shows a more complex picture of the NFT market. Back in May the global NFT sales reach $604 million, and it marked the lowest monthly performance since October 2023. May was also the first month in 2024 where sales were below the $1 billion mark.
The leading blockchain for NFT sales, Ethereum, has a historic volume of over $43 billion but saw a decline in sales as they only recorded $164 million in sales. It marked the lowest sales total since September 2023. Notably, Ethereum’s number of unique buyers also dropped significantly. CryptoSlam data noted the blockchain had 56,914 unique buyers in May, the lowest count since June 2021.
The Bitcoin network also saw a decline, as it recorded $160 million in sales for May 2024. It marked the lowest tally since October 2023, and both the buyer and seller count on the Bitcoin network hit their lowest points this year.
Among the slump in sales on major blockchains, the Solana network managed to defy the trend in terms of activity. The blockchain recorded $93 million in monthly sales, marking the first time it fell below the $100 million mark since November of the previous year. Solana also achieved new records for monthly unique buyers and sellers, with 346,229 and 594,555 addresses respectively. Given Solana's active user base the average NFT price on the network is in decline. The average monthly sales value stands at $37.8, the lowest figure recorded this year.
The wider cryptocurrency market has shown bullish trends throughout 2024, as major tokens experiencing price surges and Bitcoin reached a new all time high. However, the NFT market has not followed suit and floor prices remain low.
Here is how the top 5 major NFT collections are doing in terms of their floor prices:
- Bored Ape Yacht Club (BAYC): Considered by many to be the crown jewel of the NFT space, BAYC’s floor price has plummeted from an all-time high of 153 ETH to around 8.99 ETH.
- CryptoPunks: The original and iconic collection has seen its floor price drop from 125 ETH at its peak to 25 ETH.
- Pudgy Penguins: It's floor price has fallen from 22.9 ETH to 8.99 ETH.
- Azuki: This anime-themed collection has seen its floor price dip from 31.8 ETH to 3.09 ETH.
- CloneX: Launched by RTFKT, CloneX’s floor price has decreased from 19.5 ETH to 0.36 ETH.
While these declines in floor prices suggest a significant retracement from the heights of the NFT boom, the broader crypto market enjoys renewed investor confidence. While many are getting into the crypto space, there has been a trend of companies discontinuing their involvement in the NFT space.
Starbucks, the world famous coffee chain. decided to discontinue their NFT rewards program back in March of this year. In January, GameStop announced the closure of its NFT marketplace after scaling back its crypto services over the past two years.
The social media platform 'X' also discontinued a feature which allowed premium users to use NFT images as their profile pictures. While the interest in the NFT space is declining, there has been some positive news.
Portuguese soccer star Cristiano Ronaldo has announced another collaboration with Binance for the launch of his fourth NFT collection. The collection was unveiled on May 29th on the Binance NFT Marketplace and pays homage to Ronaldo’s illustrious career,
Pranksy’s optimism about the future of non-fungible tokens is notable and his status and experience in the space means that while the data from CryptoSlam is unsettling for NFT investors, potentially the overall decline in trading volume and falling floor prices may get a reverse in fortune through the second half of the year and into 2025.
Have a great day.
Peace. CryptoGod-1.
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