NFTs haven’t performed as everyone would have expected, and this is all thanks to the bear market.
As a result, not many NFT projects are seeing the results they would have hoped for, and things took a turn for the worse in July. Let’s discover more about it.
How Is the NFT Sector Doing?
We recently published an article analyzing the state of the NFT market over the past few months. We concluded that the entire NFT market was in decline throughout July. Interestingly, NFT heavyweights like Yuga Labs appear to be losing their grip on the market.
Our article was based on a report released by Dappradar on the state of the NFT market in July. Although there have been some slight changes as of now, it is important to reflect on the performance of key players in previous months to make long-term predictions.
Is Yuga Labs Losing Its Grip on the Market?
The NFT market in July 2023 saw an interesting change of events. After reviewing the top 10 NFT collections by trading volume between June and July, the Dappradar report noticed several noteworthy changes that may eventually alter the NFT market’s dynamics.
Source: DappRadar
Particularly, Yuga Labs, the company behind the well-known Bored Ape Yacht Club collection, appears to be gradually losing its formerly unquestionable dominance in the NFT market. Bored Ape Yacht remained the top-traded collection. However, Yuga Labs only had two other collections in July’s rankings.
This was a striking difference from earlier this year when Yuga Labs dominated over 50% of every ranking. The NFT market could see the end of the Yuga Labs monopoly as new projects continue to bring diversity to the sector.
Source: DappRadar
On the other hand, Azuki, another top collection, hasn’t fully recovered from the slump in June but managed to have three collections in the top 10. Interestingly, Azuki Elementals saw a 55% increase in sales. Interestingly, NFT sellers contributed more to volume than buyers, suggesting a change in the market dynamic that calls for additional research.
Conclusion
In conclusion, July saw a huge slump in activities. Although figures improved in August, we believe the NFT space is still unstable. The decline in NFT trading volume in July could be a recalibration of the sector rather than a retreat.
We anticipate the NFT market to undergo regular changes in the coming months as the industry develops and matures. We are likely to see new trends emerging and older ones declining, depending on different factors.
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The information discussed by Altcoin Buzz is not financial advice. This is for educational, entertainment, and informational purposes only. Any information or strategies are thoughts and opinions relevant to the accepted levels of risk tolerance of the writer/reviewers and their risk tolerance may be different than yours. We are not responsible for any losses that you may incur as a result of any investments directly or indirectly related to the information provided. Bitcoin and other cryptocurrencies are high-risk investments so please do your due diligence. Copyright Altcoin Buzz Pte Ltd.
