The non-fungible token (NFT) market has remained bearish despite the price stability experienced in the cryptocurrency sector. The crypto market cap rose to as high as $3.24 trillion from a previous $3.13 trillion. NFT Sales Plummet Despite Crypto Market Gains Data from CryptoSlam reveals the drop in NFT sales volume by a significant 35.15% to $112.7 million. Despite this bearish outlook, market participants have remained active, signaling increased interest from possibly new traders. Pudgy Penguins, however, suffered a crash to the fourth position after it declined by 55.29% with $5.1 million. The total sales stood at $1,380,939, representing a 32.43% decline. Similarly, transactions dropped by 17.20% to 77, while 56 buyers participated in these transactions. Conversely, DMarket came tops with $8.7 million in sales, a 7.98% spike resulting from strong activity by the collection. It registered a total of 322,241 transactions and 24,413 buyers. Overall, the figures suggest a notable difference between volume and participation. While NFT sales volume dipped by $6.8 million from $119.5 million, buyers registered an uptick of 624% to 203,994. Although NFT sellers increased by 519.61% to 158,805, transactions declined. The total NFT transactions were 1,443,007, which represents a 1.41% decline. Saturation and Speculation Weigh on the NFT Market Analysts have attributed these declines to increased saturation of the NFT marketplace. Notably, the marketplace appears flooded with thousands of projects, the majority of which lack uniqueness. This has overwhelmed buyers, who have become more cautious of speculative investments. Additionally, the projects which received high-profile endorsements have begun to lose relevance. For instance, the photo-shopped images of President Donald Trump while he was campaigning. NFT enthusiasts appear tired of committing funds to projects that have failed to deliver long-term value. There is also the challenge of dealing with unsustainable valuations. Can Rare NFTs Revive the Market? Pudgy Penguins, for instance, has been hugely profitable to investors who got in early on the meme-based project. Notably, early investors who believed in the project recorded massive gains as the NFTTs’ price surged due to community support. With many projects flooding the NFT marketplace, enthusiasts believe only rare NFTs could revive interest to previous levels. In a recent interview, David Sacks, White House AI and Crypto Czar, described NFTs as collectibles . This might explain why only a rare collection could excite investors. The post NFT Market Takes a Hit as Pudgy Penguins Plunge – Here’s What’s Happening appeared first on TheCoinrise.com .
