On July 5, DappRadar, a well-known dApps (decentralized applications) analytics company, released a market study. The report claimed that despite the severe cryptocurrency winter that afflicted the market in 2022, the ecosystems for blockchain gaming and NFTs offered a bright spot during the previous quarter. Users and investors would remain upbeat about the future of the dApp industry as a result of this presentation.
Demand for NFTs rose between April and June
According to the DappRadar report, demand for NFTs rose in April and June. That holds true despite the general bloodbath on the cryptocurrency market and the failure of the Terra ecosystem. According to recent reports, NFTs sales count and trading volume increased by 59 percent and 533 percent, respectively, in the second quarter of 2022 compared to the performance of the second quarter of 2021 (on a YoY basis).
Despite an increase in sales during the prior quarter, DappRadar also observed a decline in market volume during the examined period. Since May, the volume (in USD) of marketplaces has fallen by 70%. When measured in Ether over the same period, the volume also decreased by 55%. While this is happening, the market cap of NFTs in ETH has surpassed $5,000,000, making up for the loss. This indicates a decline of 8% since April and an increase of 20% since May.
Additionally, DappRadar found that ETH-based collections of non-fungible tokens (NFT) saw trading volume rise by 101 percent last quarter, while metaverse-based NFT collections saw a total growth of 96 percent. Sadly, collections of polygons decreased by 26%. While Polygon reported a 456 percent growth on an annual basis in 2022 Q2 compared to 2021 Q2 performance, Ethereum’s NFT collection increased by 2093 percent.
Leads the Pack: Solana
Despite general market retracements within the NFT sector, DappRadar reports show that the Solana Chain dominated with a 21 percent trading volume increase during the past quarter. Following, Avalanche saw a 15% increase in trading volume over the timeframe. BSC, Polygon, and Ethereum Chain all experienced losses during this time period of 22%, 59%, and 41%, respectively.
Do Blue-Chip NFTs exist?
Most blue-chip collections reported value declines over the previous quarter, according to DappRadar. For instance, from April 30 to May 1, BAYC (Bored Ape Yacht Club) saw a 38 percent decline. Additionally, the floor price of MAYC (Mutant Ape Yacht Club) dropped by 57% during that time.
The report attributed the struggles of BAYC and MAYC to macroeconomic factors and the release of new projects like Moonbirds and Goblin Town. By June 18 and 19, the majority of collections have recovered. According to DappRadar, the resurgence saw gains for Meebits floor price of 76%, CryptoPunks and Doodles of 43% and 44%, and BAYC of 24%.
