Not Axie Infinity or Blur: These two NFT cryptos convince in important metrics!
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The crypto market is developing dynamically and is becoming more bullish again today. The year-end rally could continue. Various trends are already emerging for 2024. Non-fungible tokens could also come back into the focus of investors here. Now new analyzes show particularly strong developer activity for certain NFT cryptos. This sometimes indicates future potential, as further development also promotes adoption – at least if it is achieved with high quality. But Axie Infinity or the NFT exchange Blur are not at the top of this metric – most recently, the NFT cryptos Flow (FLOW) and Decentraland (MANA) had the highest developer activity.
⚡️Top #NFT Projects by Developer Activity
Let's take a look at the list of NFT projects with the highest developer activity score in the last 30 days, data taken from @Santimentfeed.#Flow – 125#Decentraland – 104#Enjin – 17.6#AxieInfinity – 15.1#TheSandbox – 11.3#Dypius -… pic.twitter.com/YtziJQQQtp
— 🇺🇦 CryptoDep #StandWithUkraine 🇺🇦 (@Crypto_Dep) December 13, 2023
Flow (FLOW)
With a price increase of around 6%, investors in Flow are driving the recovery in the last 24 hours. The monthly profits add up to around 20%. Still, FLOW is trading 98% below ATH. Can the high activity of developers here promote a unique turnaround?
Flow (FLOW) is a blockchain specifically designed to support NFTs and decentralized applications. This is characterized by its ease of use and high scalability, making it ideal for NFT-based projects such as digital artwork, collectibles and games. Flow was created by Dapper Labs, the creators of CryptoKitties, to overcome the limitations of traditional blockchains in terms of throughput and costs. Flow actively promotes the expansion and diversification of the NFT market.
Decentraland (MANA)
Developer activity in the well-known metaverse project Decentraland (MANA) also gives hope, while the price development looks frightening in the long term.
Decentraland is a metaverse world based on the Ethereum blockchain that allows users to realize themselves in the virtual world. At the heart of Decentraland are NFTs, which allow users to own and design unique digital properties and items. Properties are represented as NFTs, making them unique, tradeable and provably owned.
Developer activity on NFT projects
Developer activity is a crucial metric, especially for projects focused on Non-Fungible Tokens, as it provides direct insights into the project’s vitality, sustainability and innovation potential. High developer activity indicates constant improvements, bug fixes and feature updates, which is essential for the project’s long-term viability and adaptability to rapidly changing market conditions. Additionally, a strong developer community can increase user trust by demonstrating that the project is supported by expertise and commitment. Standing still is going backwards in the dynamic crypto world – so active developers indicate that there is a future plan for the project.
That’s why investors must remain critical!
However, an exclusive focus on developer activity as a metric can be misleading, especially in the context of NFT projects and exchanges. While high developer activity indicates innovation and commitment, it is not the only determining factor for the success or quality of a project. For example, established NFT exchanges or mature projects often require less ongoing development work because their systems are already optimized. Therefore, in such cases, lower developer activity may still be associated with high efficiency and reliability, requiring a holistic analysis.
Experts remain bullish on NFTs: will the next boom come in 2024?
VanEck experts have recently expressed increasing optimism about the development of the NFT market for 2024. After a significant decline in 2022 and a phase of consolidation in 2023, market strategists expect NFT activity to reach new highs in 2024 become. In particular, monthly trading volumes of NFTs could reach new peaks, driven by growing interest from speculators focused on renowned NFT collections on Ethereum, as well as advances in crypto gaming platforms and innovative Bitcoin-based projects. The experts expect further impetus from the Bitcoin Ordinals protocol and developments in the area of Layer 2 solutions on the Bitcoin platform. This means that Bitcoin is likely to gain more attention in the NFT space compared to Ethereum.
Prediction #6: NFT activity will rebound to an all-time high with Ethereum leading and Bitcoin gaining traction via the Ordinals protocol, shifting the ETH-to-BTC NFT issuance ratio to 3-1 by the end of 2024.
— VanEck (@vaneck_us) December 7, 2023
At the beginning of the NFT boom, speculation dominated: images of monkeys and pixelated works of art reached millions, driven by hype fueled by celebrities and the media. However, a development is now emerging in which NFTs are increasingly turning to practical applications. After all, the potential uses for non-fungible tokens are diverse and far-reaching. These range from digital proof of ownership to innovative applications in the world of gaming. This development signals a maturation of the market, where NFTs move beyond mere speculative value and may begin to realize their true utility.
