August 24, 2023 at 14:10 GMTModified date: August 24, 2023 at 14:11 GMT
August 24, 2023 at 14:10 GMT

NFT floor prices take a fall by over 25%

The last month hasn’t been kind on non-fungible tokens (NFTs) as a number of leading collections have posted double-digit monthly losses.

NFT. Pic: Unsplash

The last month hasn’t been kind on non-fungible tokens (NFTs) as a number of leading collections posted double-digit monthly losses. The data revealed by showed that some of the top “blue-chip” NFTs have seen their floor prices decline by more than 25% during this period.

Floor price is crucial in determining the NFTs’ value and worth in the market as it is the minimum price at which a seller wants for an item in a collection. It is therefore an indicator of a collection’s popularity and the value that it has in the community. However, other factors like rarity traits and market conditions also cause variations in the NFTs’ prices.

In the Nansen data, its NFT-500 index was down 40% year-to-date, while its Blue Chip 10 index was down by 33%.

Top collections like the Bored Ape Yacht Club (BAYC) have suffered the same fate as its floor price declined by 27%. The BAYC is a collection of 10000 unique digital collectibles living on the Ethereum blockchain which is known for breaking a number of NFT price records.

DeGods, which is another popular collection of NFTs featuring godly characters with modern streetwear and ancient deity-inspired art, has been down by 55%. Azuki, which sold out its ‘Elementals’ NFT mint in just 15 minutes for $38 million back in June, saw its floor prices drop by 36%.

Since these NFTs survive on the Ethereum blockchain, the price of $ETH usually dictated the worth of these tokens. As per CoinDesk data, the value of this second largest coin in the market has been down by 9.6% on-month. Therefore, one could observe that the value of these NFTs have dropped faster than the currency they are denominated in.

However, Nansen data also shed light on some other NFTs which have broken this “down-only” trend. This list of tokens include Miladays, whose floor price has risen by 66%. Sproto Gremlins, which has been a top choice of Bitcoin holders, has increased by a staggering 262% over the past 30 days.

Other impressive gains saw jpegjs.eth [0x69d0], known in the community for their legendary collections, in the top spot of holders. Here, there were six uncommon and epic NFT collectors, said Nansen, and no smart money addresses in the top 20 holders list.