NFT Market Keeps Attracting New Users
Despite some problems, the NFT market remains super attractive to investors. Read some of the most interesting insights.
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Non-fungible tokens (NFTs) keep making good headlines as they remain among the most popular tokens on the crypto market.
According to the latest report by DappRadar, in October, the number of unique NFT traders increased by 18%, hitting the 1.11 million mark.
Source: DappRadar
This happened despite the NFT trading volume decreasing by 30% compared to September, lowering to the $662 million mark – which is the lowest amount the report’s authors registered this year. The sales count also decreased by 30% month-over-month.
Source: DappRadar
Among the cryptos that took the biggest hit in terms of NFT trading is Ethereum, which continues to be in a descending trend. This month, its NFT trading volume decreased by 21% hitting $324 million, the lowest volume registered since June 2021.
Solana’s NFT trading volume also decreased by 49%, returning to the average level observed in August and July.
Polygon, however, is following a different pattern. Its NFT trading volume has spiked this month by over 770%, reaching $10 million. According to the authors, the success of the Reddit NFT collections best explains this growth.
Likewise, another cryptocurrency Theta increased its trading volume by 55%, hitting the $9.9 million mark. The launch of the unique NFT collection dedicated to Bollywood icon Amitabh Bachchan, who recently celebrated his 80th birthday, is likely to be behind this increase.
Among the most popular NFTs are the Cryptopunks, Bored Ape Yacht Club, Meebits, Mutant Ape Yacht Club, Kennel Club Yacht Club, and Otherside.
Not only OpenSea
The competition between different NFT marketplaces is likewise getting stronger, with new players entering the market.
This month Blur, an Ethereum-based platform, released a beta version supported by several prominent investors, including the venture capital behemoth Paradigm.
This platform does not charge any trading costs. Targeted at so-called professional NFT traders, its features include “floor sweeping” across several marketplaces, reveal “sniping” and portfolio analytics tools.
Blur is just one of the many OpenSea competitors, which have significantly increased their market share over the months.
While OpenSea continues to be the market leader in terms of users and volume, other exchanges are catching up. Its dominance decreased by 8.3% compared to August, while the NFT trading volume decreased 12.1% ($313 million) month-over-month – the lowest trading volume registered since July 2021.
Other exchanges like X2Y2 and Magic Eden have also gained market share since 2022.
Compared to August, X2Y2 increased its market share by 8.4% despite the decrease of its NFT trading volume month-to-month by 38.82% ($181 million).
Meanwhile, Magic Eden has increased its dominance by 2.3% compared to August, even though the trading volume decreased by 52.07% ($61 million) month-over-month.
Previously, The Coinomist explained why cryptocurrencies are experiencing a decline.
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