The recent obsession so many people have with NFTs could end abruptly, which put a smile on any skeptic out there. Many so-called "NFT nay-sayers" have warned that this lucrative bubble would eventually burst.
The truth is, they are right. The numbers don't lie.
According to the NFT market tracker, NonFungible, prices for these digital assets are now well below $2,000. Compared to January of 2022, the market saw prices above $6,800. The total daily sales were worth a whopping $160 million. Recently, that number is down to $26 million per day.
Then there is the number of assets purchased daily; sales were at 26,000 per day in January. In comparison, sales are down to less than 3,200 per day, an 88% decline in only a few months of 2022.
Then there's the sharp decline of individual NFT values, once highly prized, which have dramatically cooled down. The Bored Ape Yacht Club NFT was sold only for $224,028.62, heavily discounted from its original January sale price of $291,828.16, a significant loss for that seller.
Many experts state that the war in Ukraine has hurt sales and NFT values. In contrast, others say the Securities and Exchange Commission in the United States has crippled the market with heavy set regulations recently imposed, making it harder to buy and sell NFTs. Whatever the reason, the good times might be coming to an end sooner than many expected.
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