Thanks to the involvement of well-known artists and celebrities over the past two years, non-fungible tokens (NFTs) have provided the crypto ecosystem the boost it needs to gain popular attention. Yet, the ecosystem has consistently displayed signs of a recovery over the past two weeks, despite the significant losses NFT investors have endured over the continuing 10-month bear market.
According to information from NFTGo, since September 12 the performance of top-tier NFT collections has steadily increased, slowly getting closer to the 10,000 ether (ETH) lost in the middle of August 2022.
the effectiveness of premium NFT collections. Origin: NFTGo
The market cap, which is determined by the floor price and trading price of NFTs, climbed by over 16.5% to around 11.25 million ETH on September 20.
NFT collection market capitalization. Origin: NFTGo
In response to the market cap breaching the 11 million ETH level for the first time in three months, as seen above, the number of NFT holders increased by 32.24% during that time.
With a volume contribution rate of 9.25%, Ethereum Name Service (ENS) is now the largest contributor, followed by well-known NFT collections like Bored Ape Yacht Club and Otherdeed.
Market sentiment for NFT. Origin: NFTGo
Yet, while investors strive to make up for their previous losses, the current market sentiment, which is based on volatility, trading volume, social media, and Google trends, is still negative.
NFT marketplace OpenSea introduced the OpenRarity protocol to check the rarity of NFTs within its platform.
The protocol aims to provide a reliable “rarity ranking” that would help investors considering buying NFTs.
