Coin Metrics report: OpenSea, the NFT market, had daily sales of more than 60 thousand last week, and the transaction volume in August exceeded US$1 billion

A report released by crypto analysis company Coin Metrics shows that in the past two weeks, NFT sales have exploded, far exceeding the NFT boom that occurred in March. The daily sales volume of OpenSea , the largest NFT market , reached a peak of 60,000 in the past week, close to 8 times the peak in March. OpenSea ‘s transaction volume has surpassed $1 billion in August, and the number of daily independent buyers has also reached a record high.

Several events at the end of July seem to have triggered this craze. On July 30, an anonymous buyer bought 104 CryptoPunks in a block for 7 million USD. They selectively purchased 104 of the cheapest CryptoPunks on the market, greatly increasing the reserve price (“reserve price” refers to the price of the cheapest NFT in a collection). They see CryptoPunks as a long-term store of value.

Since the beginning of August, the sales volume of CryptoPunks has surged. But in addition to Punks, animal-based NFT projects also followed.

After Bored Ape Yacht Club (BAYC) announced that it would be unveiled at Christie’s auction, sales rose sharply. Since then, BAYC’s sales have reached millions of dollars. After the Twitter battle with BAYC, the trading volume of Pudgy Penguins skyrocketed, reaching $13.5 million on August 13.

Three Arrow Capital, a Singapore-based hedge fund, started buying NFTs frantically. In the past two weeks, the company has spent thousands of ETH to purchase NFTs, mainly in Art Block and CryptoPunks.

Art Blocks is a prolific art platform that produces popular collections including Ringers, Chromie Siggles and Fidenzas. After Three Arrow Capital’s investment began, the Art Blocks market experienced explosive growth.

On August 9, the two NFTs in the Ringers series were sold for 400 ETH and 370 ETH, which are the two highest transaction prices in the series so far. On August 14th, Chromie Squiggle was sold for 750 ETH, which is approximately US$2.4 million.

The price of Art Blocks has soared in the past two weeks. There are dozens of projects with different prices, but the average selling price has reached US$29,500, reaching its peak on August 10.

The crypto art market has also begun to make a comeback after its peak in March. The daily trading volume of SuperRare, the leading one-to-one encrypted art market, is picking up after hitting a record high in March. On August 3rd, Summer.jpg of XCOPY, one of the earliest artists on SuperRare, was sold for 336 ETH, which is approximately US$838,000.

During the NFT boom in March, the encrypted art market received a lot of media attention. On March 11, Beeple’s digital works were sold at Christie for US$69 million, which marked the peak of the March boom.

The price of ETH began to rise in mid-March and hit a record high of $4.1 million in April. As the price of ETH exceeded $4,000, NFT sales fell.

This may indicate the relationship between the NFT market and the price of ETH. NFTs are usually priced in ETH, so if the price of ETH suddenly rises, new entrants may be eliminated. For example, an NFT priced at 2 ETH may suddenly rise from approximately US$3,000 to over US$6,000. For some potential buyers who do not already own ETH and need to use fiat currencies, this type of price increase may make it too expensive.

But there may also be some reflexivity between the NFT market and the price of ETH. People buy ETH to buy NFTs, then sell their NFTs to get more ETH, and reinvest these ETHs into more NFTs. The high sales of NFTs have brought new attention to ETH and helped bring more users into the Ethereum ecosystem.

During the NFT boom in March, NFT sales and ETH prices rose at the same time until the market suddenly slowed down due to oversupply. Both NFT sales and ETH prices are now rising again.

Despite the sharp increase in NFT sales this summer, Google’s global search for “NFT” is still far below the peak in March. If NFT starts to gain attention from the outside world as it did earlier this year, there may be even greater prosperity in the future.

Source: Coin Metrics

Author: Nate Maddrey, Kyle Waters


Posted by:CoinYuppie,Reprinted with attribution to:
Coinyuppie is an open information publishing platform, all information provided is not related to the views and positions of coinyuppie, and does not constitute any investment and financial advice. Users are expected to carefully screen and prevent risks.

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