NFTs still in ‘great demand’; unique traders rise 18% in Oct: DappRadar
According to a DappRadar analysis, despite a drop in NFT trading volumes and sales counts during October, the number of monthly unique traders climbed.
Although nonfungible token (NFT) trading volume and sales fell in October, analytics firm DappRadar believes an 18% increase in monthly unique NFT traders demonstrates the industry is still in “high demand.”
According to a DappRadar analysis published on November 3, the number of monthly unique NFT traders in October reached 1.11 million, an increase of 18% over September’s figure of about 950,000.
This despite trading volumes decreasing by 30% to $662 million in October, the lowest recorded in 2022, and sales plunging by 30% to 6.13 million, according to the business.
“The rise in the unique traders’ count indicates that new people are entering the NFT market, and it is still in great demand.”
The NFT community had a very busy month.
At least two more NFT markets, including Solana-based Magic Eden and Ethereum-based LooksRare, have switched to an optional royalty arrangement.
The survey also stated that Yuga Labs has maintained its dominance in the NFT industry, with CryptoPunk and Bored Ape Yacht Club accounting for seven of the top 10 sales for the month.
CryptoPunk#924 was the most valuable of these sales, selling for a whopping 475 ETH on Oct. 27, which is currently worth $731,435 at the time of writing.
Meanwhile, Ethereum’s NFT trading volume has continued to fall for the second consecutive quarter, falling 21% in the past month to $324 million, the lowest level recorded by DappRadar since June 2021.
In better news, according to Dappradar, Polygon’s NFT trade volume has increased by 770% in the last month, owing to the success of Reddit’s NFT collections.
Since their inception in July, more than 2.9 million Reddit avatars have been minted, which have found their way into more than 2.8 million wallets, with Dune analytics data indicating a sales volume of $10.1 million in October.
The trade volume for the layer-2 solution appears to be expanding over the following month, with Meta announcing on Nov. 2 that Polygon would be its debut partner for its planned NFT products.
According to the research, Dogecoin was the best-performing token of the month, ending the month 50% higher than when it began, with Elon Musk’s Twitter takeover and the release of Dogechain’s future roadmap cited as the causes.
It also noted an increase in the average number of unique active wallets, which was 6.84% higher than the previous month. DappRadar attributed the increase to staking provider Lido being integrated into Arbitrum and Optimism, as well as a relationship between the NEAR Foundation and Google Cloud.