Monthly NFT Sales Plummet Below $400 Million Marking Yearly Lowpoint
In a concerning trend for the non-fungible token (NFT) market, sales recorded a staggering $374 million monthly volume in August. This marks a downward trajectory and sets a new low for NFT sales in 2024.
A Look at NFT Sales in 2024
- Highest Monthly Sales: $1.6 billion (March)
- Lowest Monthly Sales: $374 million (August)
According to data from CryptoSlam, digital collectibles only managed to reach a monthly volume of $374 million in August 2024. This represents a significant drop of 76% compared to the highest monthly record in 2024.
The Downward Trend Continues
NFTs had a strong first quarter of 2024, with a total sales volume of $4.1 billion. However, digital collectibles failed to maintain momentum, and the total volume dropped to $2.24 billion in the second quarter – a decline of 45% from the previous quarter.
The downward trend began in April when sales dropped to $1.2 billion, followed by an even steeper drop in May with monthly volumes hitting $598 million. Despite a surge in weekly sales in the last week of August, NFTs have been unable to break this constant decline.
July’s Mixed Results
In July, NFTs recorded a sales volume of $427 million. While this was a lower turnout in monthly sales volumes, it showed an 87% increase in NFT transactions. Data revealed that NFT transactions increased from 5.7 million in June to 10.7 million in July.
However, August saw a drop in NFT transactions, with 7.3 million total transactions – a 31% decrease from July. Despite this, the average NFT sale’s value increased by 27%, rising from $39.93 to $50.74. As of September 2, the average NFT sale has increased further to $86.04 per transaction.
The Shift Away From NFTs
In comments to Cointelegraph previously, Solo Ceesay, co-founder and CEO of social wallet Calaxy, stated that speculative capital has flowed into memecoins this cycle. He believes the space is moving on from NFTs and into memecoins.
On August 19, the once most expensive CryptoPunk was quietly transferred into a different wallet. Ceesay believes that the previous owner of the blue-chip NFT wanted to transfer the capital into memecoins.
The Future of NFTs
As the NFT market continues to struggle, it’s essential for investors and collectors to reassess their portfolios. The shift towards memecoins and away from NFTs is a significant trend that cannot be ignored.
In related news, tokenizing music royalties as NFTs could help the next Taylor Swift rise to fame. This innovative approach to music ownership and revenue generation could be the key to unlocking new opportunities in the music industry.
Key Takeaways
- NFT sales plummeted to $374 million monthly volume in August 2024.
- The downward trend began in April with a significant drop in sales.
- July showed an 87% increase in NFT transactions, but August saw a decline.
- Speculative capital is flowing into memecoins this cycle.
- Tokenizing music royalties as NFTs could help the next Taylor Swift.
Related Articles
- NFTs can be securities but SEC Wells notice to OpenSea ‘not productive’ – Lawyer
- Speculative capital moving from NFTs into memecoins
