NFT market recovers amid bearish sentiment
Over the past two years, nonfungible tokens (NFTs) gave the crypto ecosystem the boost it needed to grab mainstream attention — owing to the involvement of prominent artists and celebrities, as reported by the Cointelegraph.
However, despite the enormous losses suffered by NFT investors following the ongoing, 10-month-long bear market, the ecosystem showed sustainable signs of a comeback in the last two weeks. Since September 12, the performance of blue-chip NFT collections witnessed a steady growth, inching back toward the 10,000 Ether (ETH) that was lost in mid-August 2022, according to data by NFTGo. In response to the market cap breaching 11 million ETH for the first time in three months, the number of NFT holders increased 32.24% over the same time period, Cointelegraph noted.
The most volume is being contributed by Ethereum Name Service (ENS), which is followed by popular NFT collections such as Bored Ape Yacht Club and Otherdeed.
However, current market sentiment, as measured by volatility, trading volume, social media, and Google trends remain icy as investors seek to recoup their earlier losses.
OpenSea, an NFT marketplace, established the OpenRarity protocol to validate the rarity of NFTs on its platform. The protocol’s goal is to produce an accurate “rarity ranking” to help investors decide whether to buy NFTs.
(With insights from Cryptoslate)
