Bear market also sweeps the NFT world
Bear market also sweeps the NFT world
NFT

Bear market also sweeps the NFT world

By Martina Canzani - 16 May 2022

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The past two weeks have been extremely challenging for all those working or simply investing in the cryptocurrency markets and the NFT world, which has also entered a bear market phase.

Crypto market and NFT world hit by bear market

At the time of writing, for example, BTC is trading at $29,566 and ETH at $2,007, and as we all know, when the value of the two main cryptocurrencies plummets as a direct consequence, all other tokens also depreciate

This time, however, the bear market has not only overwhelmed the price of the tokens of the most well-known projects, but also the price of the Non-Fungible Tokens, particularly the blue chip projects.

bear market
After the cryptocurrency market, the NFT sector is also suffering from a bearish phase

CryptoPunks, Bored Ape Yacht Club and Otherdeed NFTs lose value

Blue-chip projects from the NFT world have been strongly affected by the general market trend in recent days.

Projects such as CryptoPunks, Bored Ape Yacht Club (BAYC) and others have hit record lows over the past month. In fact, their prices have dropped 63% since 12 May.

By contrast, another NFT project worth considering is Yuga Labs’ Otherside metaverse.

Yuga Labs sold 55,000 Otherdeeds immediately after the launch of its new project at the end of April. These are the unique plots of land required to claim a space in Otherside.

The lowest price reached in May was 1.52 ETH.

Currently, Otherdeed NFTs are facing a decline in transactions, with numbers dropping from $375 million to $6.5 million. However, they continue to be one of the 10 collections with the highest trading volume.

Otherdeed NFTs are behind projects such as Mutant Ape Yacht Club and BAYC in the rankings.

ApeCoin seems to remain one of the best cryptocurrencies this year

Speaking of Yuga Labs and its exciting new projects, we cannot fail to mention the performance of its newest Coin recently on the market: ApeCoin.

APE is the ecosystem-native cryptocurrency chosen by Yuga Labs as its governance token

Despite the fact that the virtual currency has only been on the market for a very short time, its market capitalization is in 47th place, at $3.445 billion.

Naturally, like all other tokens in circulation, APE also lost value after reaching its ATH at the beginning of May, reaching $6,71

The price thus fell by about 50,42% and APE’s daily trading volume also dropped by double digits, falling by about 40%.

Despite this momentary price drop, forecasts seem to confirm that this token has a very good chance of becoming one of the best cryptocurrencies of 2022.

Meta’s project may help the NFT market trend

While the crypto and non-fungible token markets are going through a challenging time, Meta is continuing to test Instagram’s new feature to be able to display NFTs on the platform.

The integration of NFTs within one of the most popular social networks will at first be aimed at a small group of Instagram users and creators who are already familiar with the functionality of non-fungible tokens. 

Once available, it is very likely that this new feature will have a strong impact on the performance of the NFT market, or so it is hoped. 

Martina Canzani

Graduated in Law at the University of Milan. After completing her academic studies, she became interested in the world of blockchain, finding it a powerful tool for redemption. Her passion then turned into a job, and now she invests in early-stage projects in decentralised finance and DAO and writes articles on all the news concerning the crypto world.

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