NFT Prices Impacted by FTX Fallout

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  • The FTX crypto exchange saga has spilled over to the NFT market
  • Bored Apes are among collections selling at a lower place than before the debacle
  • Plummeting NFT prices follow dropping crypto prices

The FTX crypto exchange saga has rolled over to the NFT market, pushing the prices down, with popular NFT collection Bored Ape Yacht Club among those affected. The meltdown can be seen as a ripple effect due to plummeting crypto prices, a phenomenon that has been witnessed across the crypto market.

Bored Ape, Mutant Ape, and Azuki are Casualties

Data from NFT Price Floor, a platform that tracks the cheapest NFT price, indicates that Bored Ape Yacht Club prices had dropped by 7% to a floor price of 57.5 ETH yesterday and has dropped further to 56.37 ETH after shedding 2.73% in the last 24 hours.

The Mutant Ape Yacht Club collection has also taken a hit from the ongoing FTX liquidity crunch. According to the NFT data provider, MAYC’s floor price has dropped by 5.66% in the 24 hours to reach a cheap price of 10 ETH.

Azuki has also registered a 4% decline in its floor price. Other collections that are currently on the red include Decentraland, Space Doodles, and Gazers – Art Blocks Curated. Data from Dune Analytics also indicates that SOL-based trading volume on OpenSea has plummeted from $70,000 worth of SOL to $14,000 between Tuesday and Thursday this week.

NFT Buyers Dictating the Price, not Sellers

On the Solana-powered NFT marketplace Magic Eden, the drop has been more significant falling from $2.5 million to only $1.4 million worth of SOL within the same period. OpenSea’s Ethereum-based trading volume didn’t suffer as much, only losing less than half of its daily trading volume.

Some commentators think that NFT collectors are possibly liquidating their assets forcing sellers to accept prices offered by buyers and not the other way around. Although the crypto and NFT market has largely started moving towards a recovery at the time of writing, it’s unclear whether there’s more to the FTX saga and how the market will respond in the short term.