The NFT market is currently in a state of collapse. The market’s value, which peaked at $612 billion in May 2022, has now dropped to $44.3 billion. This is roughly a decline of 92% and includes some of the most famous NFTs, which have plummeted since then.
EtherRock #93, for one, trades for around 200 ETH, which is approximately $1 million less than the value that was at its peak. The value of CryptoPunk #5822 has dropped from 8,000 ETH, which was in the books during February 2022.
To put it simply, investors are losing money. It’s reasonable to assume that the lone exception are people who have intentionally gathered digital art pieces for their personal collections. For the time being, trading and investing in NFTs have collapsed. This should not be considered a statement that negates their rebound. A decline in the prices of cryptocurrencies like BTC and ETH could have an influence. They were once closer to their ATHs, but have since declined significantly. ETH is below $3,000, and BTC is struggling to move out of the range to reach a mark above $60,000.
Also, both of them have respective players banking negative flows to their ETFs in the market.
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NFTs were previously promoted or utilized by celebrities such as Justin Bieber and Snoop Dogg. Even Eminem and Madonna were on board, with Dogg and Eminem performing at the MTV Music Awards in Bored Ape avatars. That was the talk of excitement, and now is the talk of trades.
NFTs were introduced to provide creators with various forms of support. In the digital sphere, NFTs remain the preferred option; however, the market has experienced a relative level of tranquility. The primary focus is on increasing the prices of digital tokens.
NFTs continue to make their way into the market for new themes. The last was Plastic Free July, which originally came from Australia in 2011. It intends to draw attention to the fact that plastic has several harmful effects. This pertains to the detrimental effects plastic has on both the environment and human health. NFTs have even turned people in favor of the crypto market. Donald Trump is one example of that statement.
He reportedly became an advocate for the cryptosphere after his cowboy and superhero NFTs made their way to the market.
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The launch of Lost Dogs by Notcoin is one development worth noting. The Telegram game involves NOT, NFTs, and WOOF tokens. The game is being launched in association with projects that are based on the TON blockchain. The game’s launch is likely to bring NFTs back to the forefront, even within its ecosystem. Eventually, the world may recognize the fundamental value of NFTs in the digital world, even during challenging times for the industry.
