NFTs
Are NFTs dead? Famous Bored Ape NFT drops 90% from its previous high in 2021
The Bored Ape NFT price has seen a dramatic 90% drop, falling from an all-time high of 120 ETH to just 10 ETH currently.
During the 2021 cryptocurrency boom, Bored Apes Yacht Club (BAYC) NFTs emerged as one of the most sought-after collectibles, but has since seen a sharp drop in demand affecting the entire NFT market.
Despite initial enthusiasm and celebrity endorsements, the value of BAYC NFTs, along with other Ethereum-based NFT collections, has declined due to waning interest from retail investors and the emergence of new collections on Bitcoin and Solana blockchains.
Source: CoinGecko
As of May 2022, each BAYC NFT is valued at $400,000 worth of Ether, with the price of Ether at $3,000. Currently, the value of each Bored Ape NFT has dropped to just over $30,000.
According to CoinGecko, there was stability in the market around the $1 million mark in 2022, with ten individual wallets controlling almost 20% of that amount.
Google search trends also indicate decreasing interest in Ethereum-based NFT collections as investors shift their focus to NFTs on the Solana and Bitcoin platforms.
Despite 90% drop, Bored Ape NFT still leads the NFT collection
In the 2021 NFT bull market, Bored Ape Yacht Club (BAYC) NFTs have grown in popularity, attracting several high-profile celebrities who have paid more than $300,000 for individual pieces. Notably, Justin Bieber acquired a Bored Ape valued at over $1.2 million, described as “rare.”
Reports from Google indicate that Moonpay may have given Bored Apes to various individuals and celebrities to boost investor confidence.
Despite the drop in NFT prices, BAYC maintained its status, boasting a market capitalization of $340 million as of Tuesday (April 16).
Bored Apes consists of 10,000 distinct digital cartoon ape figures on the Ethereum blockchain.
Ownership of a BAYC NFT offers several privileges, including access to exclusive in-person meetings and a private online club, additionally serving as a digital symbol of wealth.
Some Bored Ape NFTs are still selling hot
It is important to recognize that certain BAYC NFTs are still achieving sales well above their base price, which represents the minimum price for any NFT in the collection.
Recently, BAYC #830 reached a price of 504.3 ETH, equivalent to $1.92 million, while other scarce pieces in the collection have surpassed the 30 ETH mark in recent days.
Meanwhile, CryptoPunks, the most valuable NFT collection in terms of market capitalization, suffered a decline from its highest low price of 113.9 ETH, dropping 64%.
According to Expert, Digital Art NFTs Were Never Meant to Exist on Their Own
As industry experts continue to speculate about the potential resurgence of digital art NFTs, Shi Khai Wei, co-founder and chief operating officer of LongHash Ventures, shared insights in an interview. Wei emphasized that digital art NFTs were not designed to function independently in the market. Instead, he suggested that the success of these projects could be improved by integrating them with other sectors of the blockchain industry to increase their usefulness.
Wei highlighted the challenges of garnering support for projects that lack a well-defined brand and concrete products. However, he also highlighted the potential advantages of NFTs when combined with blockchain projects that incorporate in-game economies and NFT ownership. According to Wei, projects with a clear vision, such as a defined game, infrastructure, blockchain, marketplace, and a dedicated community of early adopters, have a considerably easier time succeeding.