The market appears to have low volatility and trading volume ahead of the Christmas holidays. Is it the calm before the storm? BTC and the rest of the crypto market are poised for volatile days during the holiday season. As the market sees less trading volume, assets will become more susceptible to sudden price movements.
What will this mean for NFTs? With Christmas almost here, should we have our hopes up high for an NFT Santa Rally? Let’s find out.
1) Ethereum Sentiment is Unstable
The bears seem to have grown tired as the market remained above the support levels amid multiple tests. Ethereum is trading above $1,200 and the 100 hourly simple moving average. The next immediate resistance is at the $1,250 level and the major resistance is at the $1,300 level.
So, if ETH fails to climb above the $1,250 resistance, it could start another drop. On the other hand, a clear upside break above this resistance level could start a strong upward move.
2) NFT Market Cap & Volume & Sales Increase
Over the course of the week, the number of sales increased by 13.88%, from 99K to 113K. The sales (USD) decreased by 7.6% from the previous week’s $100M to $92M. The active market wallets also dropped by 2.63%. Primary sales stayed constant during this period.
The overall market volume continues to decline. It plunged by 18% to 150M dollars. Meanwhile, the market cap rose slightly to $21.77B.
On the other hand, the blue-chip NFTs in Ethereum showed poor performance. Collections like Cryptopunks, Azuki, Art Blocks showed a major decline in their volume. However, we did see a slight uptick from the Yuga Labs collections including BAKC and Otherside.
3) NFT Holders Growing
The number of traders saw a near 9% growth this week. The sellers increased by 9.4% while buyers increased by 9.6%. The whales hold NFTs worth 1.08 million ETH, accounting for 10.38% of the 10.39 million ETH global market cap. The whale’s grip on the NFT market seems to be getting weaker.
4) NFT Users and Transactions on the Rise
OpenSea smart contracts logged 269.65K transactions this week. It was nearly 21% more than the prior week. The number of unique wallet addresses interacting with the smart contract also rose by 9.8%. On the other hand, the volume in OpenSea and the balance in its smart contract remained constant at $44.07M and $52.94K, respectively.
5) Solana NFTs Remain Constant
Solana has once again touched the price points from its catastrophic crash earlier. $SOL is struggling at $11.90. It needs to close above the 12$ resistance level to even dream about possible bullish price action.
The total volume of Magic Eden, the largest Solana marketplace, remained constant this week. The number of traders increased slightly by 5%. Although Solahart and DigitalEyes Market have shown a significant upsurge in their volume, it doesn’t hold any significance when viewed in the broader context.
6) Volumes of Tezos NFTs Continue Falling
XTZ is struggling to stay above the $0.80 as bears keep pulling the coin down. Its next immediate resistance is near $0.815 and the major resistance is at $0.85. Tezos will have to stay above $0.8 for a lesser bearish outlook.
As XTZ keeps plummeting to new all-time lows, the NFTs on Tezos seem to be in a stalemate. Can their recent addition of fractional NFTs bring back the lost traction?
7) Quick News Round-Up
1. Trump NFTs Tank as Hype Dies
- Floor price dropped 74% in just 72 hours
- The collection has a trading volume of over $9M
2. Amazon to Release a Series on NFT Culture
- The series, NFTMe, will feature 50 pioneers in the NFT space from four continents.
- The show is expected to be six 30-minute episodes.
3. Federal Court Bans Fake Pokemon NFTs
- NFTs by a counterfeit partner of The Pokemon Company International (TPCI) were barred by a Federal court
4. Kraken NFT Marketplace Beta Is Live
- Collectors can buy and sell NFTs held on Kraken without paying gas fees.
- Kraken NFTs will support Ethereum and Solana at the start.
5. Mercedes-Benz to Test the Water on NFT and Metaverse?
- The company has filed for five metaverse and NFT-related trademark applications with USPTO
- Mercedes-AMG also released a few NFTs in collaboration with FTX before.
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