Polygon NFTs: Sales volume plummets 35% in February – Why?

• Polygon’s NFT trade counts remained high throughout January. 
• However, NFT sales volume and transactions dropped in February. 

Polygon [MATIC] managed to outshine its competitors in the NFT ecosystem in January 2024, reflecting increased usage.

To see whether the blockchain can maintain this trend in February, AMBCrypto took a look at Polygon’s metrics. 

Polygon NFTs gained traction

Polygon sat at the top of the list of blockchains by total new NFTs in January 2024 with 16 million new NFTs. Gnosis, Base, BNB Chain [BNB], and zkSync Era completed the top five of the list.

AMBCrypto’s analysis of Santiment’s data also painted a similar picture of growth. Our analysis revealed that Polygon’s total number of NFT trade counts remained relatively high throughout the last month.

Its NFT trade volume in USD also spiked on the 29th of January.

Source: Santiment

Moving on to February, the blockchain did seem to have been following a similar trend on certain fronts. For instance, Polygon’s number of NFT buyers and sellers surged by more than 29% in the last seven days.

As per DappRadar’s data, Gas Hero, Farcana, Collect Trump Cards, Genesis Wildpass, and OKX NFT Creation were the top five NFT collections of last week.

But the broader picture suggested that the growth rate was dropping. As per CRYPTOSLAM’s data, MATIC’s NFT sales volume and transactions plummeted by 35% and 7%, respectively, in the last week.

Source: CRYPTOSLAM

Santiment’s chart also pointed out a turning metric. Notably, MATIC’s NFT trade count started to decline at the beginning of February after it spiked for the last time during the concluding days of January.

It will thus be interesting to see what the upcoming days of this month hold for the blockchain’s NFT ecosystem.

Source: Santiment

MATIC remains dormant 

According to CoinMarketCap, MATIC was down by over 1.4% in the last seven days.

At press time, it was trading at $0.7783 with a market capitalization of over $7.4 billion. It was surprising to note that MATIC’s price failed to react positively to a major milestone that Polygon recently reached.

Is your portfolio green? Check out the MATIC Profit Calculator 

AMBCrypto reported earlier that Polygon experienced a notable increase in its stablecoin market cap, marking the highest volume observed in the last six months.

Whether this achievement will have an impact on the token’s price will be worth keeping an eye on.