Did the popularity of the NFT deprive cryptocurrencies of interest?

NFT is constantly evolving, and what was originally considered a bubble is pushing the entire sector.

Did the NFT deprive cryptocurrencies of interest?

Well, the time when “cryptocurrency” was also nothing more than a buzzword, and now it’s a $ 2 trillion industry. Over the last year, the trend curve for the crunch has been higher than for the NFT. However, as you can see in the picture below, there was a lot of competition in the NFT in mid-December, which is reflected in the search queries.

In addition to search queries, the NFTs also performed well in terms of trading volume. Although the volume on OpenSea has been declining since the middle of last year, last month, according to Dune Analytics, approached a record volume on the aforementioned NFT platform.

And in the first 10 days of the month, the total value of Ethereum-based NFTs sold has already exceeded $ 2 billion. If the pace does not slow down in the coming days, this market segment could easily reach a record of $ 5-6 billion.

At the same time, trading volume on all major crypto exchanges is declining in the short term. In the 24-hour window, the volume decreased by 20% to 30% on most platforms, including Binance, Coinbase, FTX, Kraken, KuCoin and Huobi Global.

However, despite the volatile market and the price of most assets falling, such failures are not surprising to anyone. Previously, the digital asset market also experienced a sharp decline, after which it quickly compensated for the loss.

In the future, as the market stabilizes, we will undoubtedly witness the prosperity of both sectors.