The significant decline in NFT Marketplace activity should surprise no one – CryptoMode
Recent data suggests that major non-fungible token (NFT) marketplaces, including OpenSea and Blur, are witnessing a significant decline in daily users and sales. This article delves into the latest numbers and examines potential reasons for this downward trend, offering a comprehensive analysis of the current state of the NFT market.
The downtrend in the top NFT marketplaces
Over the past week, there has been a significant decline in daily users and sales across prominent NFT marketplaces, with numbers reaching levels not observed since July 2021.
According to a Dune dashboard by NFT researcher SeaLaunch, unique user numbers across top platforms such as Blur, OpenSea and LooksRare have experienced a steady decline. On April 19, unique user numbers fell to 7,805, the lowest since July 31, 2021, when the number was 7,455.
At the same time, sales across NFT platforms have also decreased, with 16,149 sales recorded on 19 April. The last time sales figures were this low was 9 November 2021, with 12,910 sales.
OpenSea and Blur: A Closer Look
OpenSea and Blur, leading NFT marketplaces, have observed marked declines in unique users and sales. Data from another SeaLaunch dashboard reveals that Blur, a platform targeting professional users, saw its lowest daily sales in 90 days, with just 5,688 sales on April 19. Furthermore, Blur’s daily unique users fell to 1,777 on the same day, the lowest number in the last 90 days.
As for OpenSea, data from a Dune dashboard compiled by researcher Hildobby indicates that the number of daily traders fell over the past week, reaching 10,640 on April 18. OpenSea’s daily number of traders has not dropped below 10,000 since July 2021.
Potential reasons for the decline in the NFT Marketplace
The reasons behind the decline in daily users and sales across NFT marketplaces remain unclear. However, SeaLaunch suggests that a “macro scenario” affecting trading patterns could be the culprit, affecting both professional and casual users. Possible reasons include high gas prices and tax season liquidity problems.
Other contributing factors may include high volume Blur airdrop farmers reducing trading volume and liquidity and the recent meme coin trading frenzy with coins like PEPE.
Hildobby shares similar views, saying, “I think it’s a combination of factors, but the biggest factors [in my opinion] is that not much interesting has happened in NFTs lately, and rapidly rising gas prices are not helping.”
Despite the worrying trends, not all calculations seem pessimistic. Over the past 30 days, trading volume in Ether (ETH) across NFT marketplaces has remained relatively stable, according to Dune’s data.
In addition, SeaLaunch highlights that Uniswap has experienced growth in daily active users over the past two weeks, compared to the declining numbers across OpenSea and Blur.
Conclusion: A critical moment for the NFT market
The recent decline in daily users and sales on the top NFT marketplaces, including OpenSea and Blur, raises concerns about the future of the NFT market. Although a combination of factors may contribute to this decline, it is still important for industry players to face these challenges and adapt to the changing landscape.
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