Trading Volume of NFTs on OpenSea Plummets by 99%
Market analysis denotes that the regular trading volume of non-fungible tokens (NFTs) on OpenSea has plummeted by almost ninety-nine percent as compared with its former high, during the previous 90 days. The platform is considered to be the biggest NFT marketplace in the world. DappRadar’s data confirmed that the daily trading volume of NFTs on the marketplace dropped by nearly ninety-nine percent ($5M) from the record high of $405.75M which was witnessed by it on 1st May.
As per several industry experts, the recent meltdown of the overall crypto market, due to which the trading of top crypto token Bitcoin (BTC) has fallen below $20,000 in the current week, might partially be credited to the broad-scale poor performance. Several organizations and investors have recently transferred their attention toward less hazardous digital assets. The figure for transfers as well as the consumers has additionally lowered to a great extent during the same time.
Influence of Crypto Winter on Employees
Unluckily, because of the huge fall in the regular trading volume, OpenSea has been compelled to cut some proportion of the employees. In the latest interview, OpenSea’s CEO – Devin Finzer – guaranteed that the platform has decreased by 20% of its staff. The prominent executive noted that the firm requires to move in line with the present condition of the crypto market. In this way, he added, they could save the firm from a potentially lengthy downturn.
Some other well-known firms have also declared to terminate staff members in the context of the above-mentioned apprehensions. These firms include BlockFi, Gemini, and Coinbase. A noteworthy thing is that the recent huge drop in non-fungible tokens’ trading volume is witnessed at a point when the stocks’ value underwent an extreme plunge because of the hazardous digital assets’ instant selling out of fear. Several investors thought that the high inflation might compel the Federal Reserve to violently elevate interest rates.
Floor Prices of NFTs also Affected by the Crypto Winter
During the recent ninety days, as mentioned by DappRadar, several noticeable NFT collections experienced harsh slumps in sales and volume. BAYC is also among them and noticed a 15% decline in the regular trading volume during the previous 30 days. The floor price thereof fell by fifty-three percent. NonFungible.com, a venue to track the NFT market’s performance, saw a nearly 80% decline.
