The number of addresses holding at least one non-fungible token (NFT) has nearly doubled since January. This comes amid a substantial decline in trading volumes.
Weekly NFT trading volume was about $114.5 million in the penultimate week of September. In late January 2022, weekly trading volume was up to $6.2 billion, a 98% drop. At the same time, the peak trading volumes were observed at the beginning of April, exceeding $146.3 billion, so the decrease in these figures is over 99%. Data from Dune Analytics shows this.
The drop in trading volume in the NFT market was influenced by the general downturn seen in the crypto market, as well as the drop in ETH, in which the vast majority of non-fungible tokens is denominated. As of late September 2022, an NFT is worth an average of $285, compared to more than $2,000 at the end of January.
However, since late January, the number of addresses holding at least one NFT has grown by about 2.8 million, reaching 6.14 million. This continues the switch from trading NFTs to hoarding. A similar dynamic was observed two months ago. Despite the current bearish trend, analysts forecast that the NFT market volume may reach almost $100 billion by 2028, with the popularity of metaverse projects being the main catalyst for the sector development.
