Is faith in BAYC withering as diamond hands begin widespread selloff?

• About 39 Holders who have owned BAYC for more than one year have sold the asset.
• The collection’s floor price decreased but sales volume outpaced every other one across various blockchains.

Some long-term holders of Bored Ape Yacht Club [BAYC] have let go of their NFTs, according to information from Nansen. In its 23 June tweet, the blockchain analytics platform revealed that the last seven days haven’t been the best in terms of adoption for the collection.

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The sell-offs signify decreasing interest in holding the asset, especially with dwindling hope that a full market recovery was nearby.

Diamond hands now prefer paper

In 2021, BAYC took the NFT world by storm, capturing the attention of collectors and celebrities inclusive. One such famous person to sell the NFT was rapper Eminem. The NFT, which was bought for 123.45 ETH and valued at $450,000 as of then, sold for 43 ETH on 22 June.

A loss like this coupled with recent market trends raised eyebrows about the long-term value of the Ethereum [ETH]-based collection.

As a blue-chip collection, many holders decided not to “paper hand” BAYC. But with its floor price at 36.1 ETH, it seemed that it was necessary to have a sentiment shift. 

NFT Price Floor

The move might not come as a surprise to active participants in the NFT market. Recently, the collection was struggling to top sales volume against emerging NFTs on the Bitcoin [BTC] network. But at that time, there was no significant cause for concern, especially with an average hold day of 176.97.

At press time, the position changed as BAYC overthrew Uncategorized Ordinals in sales volume. According to CryptoSlam, the Bitcoin-based collection recorded $9.14 million while BAYC registered a $9.65 million volume in the last seven days.

Source: CryptoSlam

Dwindling buyers but BAYC stays top

While transactions increased over the last 24 hours, the number of participating buyers reduced by 14.29%. This also negatively affected the sales volume of the aforementioned period.

But when compared with its fellow Ethereum NFTs, BAYC still had the upper hand. For instance, Crypto Punks seems to have been extinguished from the top collections with impressive volume.

However, BAYC’s sister collection Mutant Ape Yacht Club [MAYC] maintained its stay in the top five. Meanwhile, Ethereum NFTs have been able to fight off the rise of Bitcoin collection.

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Although Bitcoin already blew Solana [SOL] and Polygon [MATIC] NFTs off the chart, Ethereum stood firm at number one. Despite a decrease in sales and wash trading, Ethereum NFT sales crossed the $16 million mark.

Source: CryptoSlam

In conclusion, the perception around BAYC’s selloffs can have multiple interpretations within the context of the cryptocurrency market.

Usually, when diamond hands, referring to strong and committed holders, begin simultaneous selloffs, it does not necessarily imply a loss of faith in the project but could be a result of different individual motivations or market conditions.