The Wall Street Journal says ‘NFT market is exploding’ but the data says otherwise

An article in the Wall Street Journal claimed that sales of non-fungible tokens (NFTs) were “flatlining” – the same week the top five domains alone accounted for more than $ 1 billion in revenue. primary and secondary sales.

The article deals with data from market analysis platform NFT Nonfungible, showing that the number of NFT sales has dropped 92% from all-time highs in September 2021. 2021.

“NFT industry is declining,” the statement concluded.

However, data on the supply chain from Dune Analytics’ dashboard shows that the NFT market is still strong, with data showing that NFT users and businesses are more than advertised. of Nonfungible.

The review also shows that daily US dollar packaging on weekdays Ethereum NFTs were one of the most seen since February, with the popular OpenSea market seeing nearly $ 550 million in packed for Sunday alone.

An analysis by Tom Schmidt, partner of venture capital firm Dragonfly Capital, tells a similar story when focusing on the OpenSea market and the dollar.

man pic.twitter.com/CTJFldAHNk

– Tom Schmidt (@tomhschmidt) March 3, 2022

Subsectors in the NFT market have emerged, and while some areas of the oversaturated market have declined, others have seen huge gains.

Nansen’s analytics platform, which identifies NFTs written by brand, shows that “Blue Chip” NFTs – well-designed and profitable like the Bored and Mutant Ape Yacht Club and Azuki tokens – are the best performing art tokens .

The Nansen Blue Chip-10 index, which tracks the top 10 NFT operations, increased by 81% year-on-day (YTD), when compared, the metrics that track NFT top-level graphs and game collection dropped by 39% and 49% last year.

This phenomenon of NFT’s venture capital consolidation into top-tier products was pointed out in an analysis by NFTstatistics.eth, which showed figures in late April showing that five the top entry is to drive the NFT Ethereum market.

These models continue: BAYC, Azuki, CloneX, Doodles and now Moonbirds separate themselves from each other.

I have already talked about the performance of the big hat, but it is the best 5 jobs that create all the benefits. pic.twitter.com/UsUlwHMJ9M

– NFTstatistics.eth (@ punk9059) April 26, 2022

“There is now a difference to make sure that five or six of the best performers are performing well, while the rest are flat or falling,” said NFT industry analyst NFTstatistics. eth told Cointelegraph.

Nonfungible data showed an increase on Sunday with the number of sales and wallets active that day hitting the numbers not seen in their data as of November 8, 2021, directly impacted. merging with data (and Ethereum data) selling land on another metaverse by Yuga Labs re-contradicting the claim that NFT sales are “flatlining”.

It is not clear why the non-fungible data that the WSJ relies on is misaligned with Dune data. However, it could be due to the inclusion of Nonfungible’s play-to-earn (P2E) game Axie Infinity sales volume.

The volume of popular P2E games reached all-time highs of over $ 40 million on November 4, 2021, before slowly falling to its current level of $ 500,000, according to data. by CryptoSlam.

However, the explosion in popularity of P2E games, according to NFTstatistics.eth, “is a very different term from ‘NFTs exploding'”.

@DJohnson_CPA indicates that AxieInfinity is so large that it held the number in November and is gone. As good as possible.

From my point of view this is a very different message from “NFTs are exploding” https://t.co/lq66GbhbAj

– NFTstatistics.eth (@ punk9059) March 3, 2022

While the current debate focuses on Ethereum NFTs, Solana has become a popular blockchain for this type of asset and is the second largest blockchain after Ethereum for NFT sales volume.

Last week, Solana NFT’s “Ok Bears” project topped OpenSea’s first 24-hour sales tracker and ranked fourth behind the Mutant Ape Yacht Club in a seven-day sales volume on CryptoSlam, with more than US $ 47 million change.

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