BAYC falls below 50 ETH: Is another NFT market dip on the way

• The blue-chip collection shrunk below the price for the first time in almost 16 months.
• Other collections followed suit, but sales volume improved.

Concerns have risen regarding a potential decline in the NFT market after Bored Ape Yacht Club’s [BAYC] floor price fell below 50 ETH. This was the first time the collection, once praised as the king of Ethereum [ETH]-based collections hit such a level since December 2021.

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For a collection whose floor price peaked above 144 ETH, the drop has led to questions about the long-term sustainability of the market. Although some analysts remain bullish on the future, experiencing a significant correction like this might not be good for short-term traders.

BAYC leads a drop of the gems

According to NFT Price Floor, the BAYC floor price was 47.9 ETH at press time. This represented a 2.34% decline in the last 24 hours.

NFT Price Floor

A situation like this means the number of traders interested in owning a part of the collection has decreased. Consequently, it has also affected the market cap negatively. 

According to CoinGecko, the collection’s market cap was a little over 480 ETH — a 10% decrease in the last 24 hours. This implies that less liquidity had been flowing into the market.

However, BAYC was not the only participant this fall. The floor price of Crypto Punks also fell below the same threshold. Despite the slide, the sales volume of the punks increased by 20% in the same time frame. For BAYC, it was also a 45.83% hike in sales.

It was worse off for Mutant Ape Yacht Club [MAYC]. At the time of writing, the collections’ floor price was 10.4 ETH. But like BAYC and the Punks, sales volume also increased.

Source: NFT Price Floor

Finding hope in changing hands

Lately, the value of most NFTs increased from the sorry state experienced for most of 2022. This was in accordance with the recovery of several cryptocurrency prices. Nonetheless, the surge has not transformed into notable appreciation anywhere close to the All-Time Highs (ATH) of 2021.

Regardless of the fall in price, BAYC still maintained its top position out of all the collections across several blockchains. At the time of writing, its sales volume surpassed $3 million.

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But the number of buyers decreased by 8% while sellers went up by 30.43%. This implies that it was not only an under-supply of money flow that affected the collection. Rather, increased selling pressure also contributed to it.

All in all, Ethereum’s NFT volume made attempts to leave its already-depleted condition. In this context, the sales volume rose to $18.16 million, followed by an increase in the transaction count.

Source: CryptoSlam