NFTs Are Dead? Recent Data Shows a New Lease on Life

Quick take:

• Bitcoin Ordinals dominated NFT sales in the past seven days with $367 million.
• Solana-based NFTs are also gaining traction amid the low gas fees for minting compressed NFTs.
• OKX NFT Marketplace topped NFT sales over the past 24 hours with more than $45 million.

The NFT market has experienced a resurgence in activity over the past 30 days, with sales up nearly 85%. According to CryptoSlam data, the global NFT market sales exceeded $1.4 billion over the last 30 days, with over 404k buyers and 326k sellers.

This growth has largely been driven by a resurgence in Bitcoin Ordinals, while the growing popularity of Solana-based compressed NFTs has boosted the number of NFTs sold on the layer-1 blockchain.

Solana

The Solana-based NFTs have gained more traction over the past few months amid the rising popularity of compressed NFTs (cNFTs).

According to data by Pine Analytics, over 90 million cNFTs have been minted since inception, representing more than 72% of NFTs minted on the platform.

Launched in March 2023, Compressed NFTs use the Solana ledger to store and handle data off-chain, thus minimizing storage costs. This essentially results in lower minting fees, which create a range of new use cases, especially those that rely on lower gas fees to be economically feasible.

The introduction of compressed NFTs on Solana’s largest NFT marketplace Tensor has helped the platform to rapidly capture 10-40% of the weekly NFT sales on the platform, but still account for less than 1% of weekly sales volume amid their low pricing compared to regular NFTs.

The buzz around the Solana blockchain was also boosted by the recent spike in the price of its meme token BONK. Last week, the $BONK token price increased by more than 100% amid the surge in Solana Saga Phone sales.

Solana Mobile phone sales had stalled significantly since launch but increased rapidly last week after the company offered 30 million to those who own the phone.

Bitcoin Ordinals

The Bitcoin Ordinals buzz has reignited activity in the NFT market, dominating sales in the past seven days. According to CryptoSlam data, Bitcoin Ordinals NFTs generated a transaction volume of $367 million, four times the number generated by the second blockchain, Solana which had $91 million.

There could be many explanations for this resurgence in interest, with the growing likelihood of the SEC approving Spot Bitcoin ETF applications as a possible catalyst.

Some of the top projects on Bitcoin have also recently announced significant funding rounds as they bid to grow the ecosystem. In November, the Ordinals project Taproot Wizards raised $7.5 million in a round led by Standard Crypto.

The company said it wants to bring back the culture of building on Bitcoin as part of a campaign to put the Bitcoin blockchain on the same level as the likes of Ethereum and Solana.

At the end of November, Polychain-backed Toniq Labs launched the Bioniq NFT marketplace on Bitcoin as part of an initiative to the process of buying and selling Bitcoin NFTs.

Last week, Metagood raised $5 million in a seed round led by Sora Ventures to advance the Osura marketplace in the Bitcoin ecosystem.

OKX NFT Marketplace

OKX NFT seems to be the first marketplace to benefit from the resurgence in Bitcoin Ordinals. The platform generated more than $45 million in transaction volume over the past 24 hours surpassing popular platforms Blur, OpenSea and Magic Eden.

According to data by DappRadar, the closest OKX NFT’s significant tally was Blur with $13.6 million, while Magic Eden generated $7.55 million. OpenSea stood at a distance fifth with $3.14 million.

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The post NFTs Are Dead? Recent Data Shows a New Lease on Life appeared first on NFTgators .