Why BAYC NFTs Suffered Most from the FTX Crash
The entire crypto market is reeling from the crash of the FTX exchange. Amid this, the price of all the major cryptocurrencies, including Bitcoin, Ethereum, and others, have plunged. On the other hand, NFTs have also felt some impact from this crash. But one of the collections that suffered the most is the Bored Ape Yacht Club (BAYC) NFT collection.
The data from several sources suggest that the price of NFTs for this project is continually decreasing. One of the primary reasons behind it is the tumbling value of Ether. This has forced the holders to panic sell their digital art collectables.
The plunging value of the BAYC NFT collection
The data from NFT Price Floor indicates that the CryptoPunks collection has replaced Bored Ape collectables. The floor price of CryptoPunks is 66.49 ETH, whereas the value for the Bored Ape Yacht collection is only 52.00 ETH.
Besides, the data aggregator for collectables, CryptoSlam, further shows that the sales of NFTs have decreased over the past month. Last month, the total traded volume was $31,275,729.82. However, in November, till now it was $26,838,932.67.
Why is the price falling for the BAYC NFT project?
It is one of the most popular projects in the digital art market. The falling costs of these NFTs are quite alarming for the collectors. Though there are numerous factors for the decline in its value, FTX collapse is a major one.
According to Wu Blockchain, the creators of BAYC, Yuga Labs, had stored around 18,000 ETH on the FTX’s Blockfolio for royalties.
Because of this, its collectables have experienced a more than 10% decline in value. Moreover, the project lost its first position due to the drop in market capitalisation. The collectors are now inclined towards owning a CryptoPunks collectable instead of this project’s NFTs.
Author: Wasay Ali
Wasay Ali is a versatile professional writer with global experience and a background in mechanical engineering and social science. He is adept at crafting news and informational content for the crypto space and has experience writing for other niches. He is a professional SEO content writer who has worked with several digital marketing agencies and clients in the US, UK, Pakistan, and Europe. He is a dedicated volunteer and enjoys reading, writing, poetry, and going to the gym. He is an INFJ-A personality type dedicated to positively impacting the world. Wasay has a passion for writing as it allows him to express his creativity, share his knowledge, and connect with people worldwide.