Market analysis of NFT in November

The month of November has been good not only for the crypto sector but also for the NFT sector.
Many of the parameters used to track the market have started to move in the right direction, giving signals that give hope for a recovery.
However, let’s not forget that we still don’t have strong signals, we will need to wait a little longer before we can say with certainty that the market is recovering.

NFT18 Report Data

The American company NFT18 has prepared an analysis of the NFT market that gives hope for a market recovery.

  • The profit and loss ratio among non-fungible token traders has returned to the same level as May 2022, with approximately 41% of traders in profit.
  • The floor price of the top 500 collections has increased by about 42% in just one month
  • The period of “holding” has drastically decreased, on average traders now hold their NFTs for about 18 days compared to 100 days, which was the calculated period in October.
  • the average price has dropped by 42% since October, reaching about $150.

As we can see from this data, we have some positive signals, but since we are still at the beginning of this Bull run, there is still a long way to go.

November records

The month of November started with the sale of a cryptopunk for about $1.1 million, a remarkable recovery for one of the most popular NFT collections.

In the same week, other cryptopunks were sold for a few hundred thousand dollars.
Strangely absent is yuga labs, the creator of the infamous collection Bored ape yacht club (BAYC).
Another work that has gained considerable success is “ETHboy” created by Alotta Money and Trevor Jones, sold for about 392 thousand dollars.
There have also been significant sales in the primary market, such as Jack Butcher Trademark, with 10,000 NFTs sold for a total of 690 ETH generated and a trading volume exceeding 3,000 ETH.

Another notable sale is that of Herbert W. Franke with his Zentrum collection, which has also seen remarkable success selling 222 NFTs at a variable cost between 2.49 and 5 ETH, generating a total of 613 ETH.

However, the price on the secondary market has seen a decrease of 45% in less than a week.

Wash trading and NFT 

One of the biggest events in November was the second round of airdrop from the Blur project.
On November 20th, the airdrop took place despite the fear of wash trading resulting from the airdrop itself.
Also in the same month, approximately 4% of wash trading was detected, which is definitely a low number and therefore a good sign of the project’s health, but there were also 20% of suspicious sales.

NFT Market Analysis by Segment

NFTs have a variety of use cases that market analysis analyzes in the form of main segments:

  • Collectibles – $269 million / 75%: Slightly losing market share compared to October (-4 percentage points), collectibles remain the dominant segment in terms of trading volume in USD.
  • Games – $17 million / 5%: This segment is increasingly moving towards Ethereum side-chains and specialized networks (not covered in this report), such as Immutable X, Ronin, or Solana.
  • Art – $42 million / 12%: With a 5 percentage point increase, art is one of the segments with the best performance. The interest in this sector probably stems from discussions about on-chain art following a statement by Elon Musk regarding how media is hosted in NFTs.
  • Virtual Worlds – $9.4 million / 2%: Despite a tripled volume in USD this month, virtual worlds (or metaverse) still represent only 2% of the traded dollar volume. The average price has doubled, but the “ownership” period remains at 98 days.
  • Utility – $22 million / 6%: The “Passes” that grant rights to air drops or other privileged accesses have been popular this month, especially with the Redbull Velocity Pass that provided access to Art On Internet (AOI) Engine drops.

For further information, visit the link below to access the full report: