NFTS on course to achieve a volume of $ 111 billion in 2022

• In the first four months of the year, a total of $ 37 billion were transferred to NFT marketplaces compared to $ 41 billion throughout 2021

• Yuga Labs, the creator of the bored Ape Yacht Club, is leading with three of the five largest projects according to volume

• The Otherside project in April is already the fifth largest project in the history

• nfts this year are on course for a volume of $ 111 billion $

During the cryptocurrency market by the Bloodbath this week (if I look at it, terra), CointeText considered it to take a step back and to judge how far it has come.

Maybe no sector has made as much progress as NFTS. By May 1st, $ 37 billion have been sent to NFT marketplaces this year. So it is about to overtake the total of 2021, which, according to a current study of $ 41 billion, chain analysis .

The extrapolation of this forward shows to projected nft volume of $ 111 billion in 2022, but the future of this relatively new industry is still unclear and anything other-not to mention the consequences of market turbulence this week, which could affect future volume.

The last week was not easy for the NFT market, which can be clearly seen at the Yuga-Nfts, which recorded a massive decline of 31 percent, while the market capitalization of the industry has suffered a difficult blow and has fallen to $ 19.5 billion.

nft Marketplace Coinbase disappointed

The report by Chainalysis about the NFT market comes just a few days after the start of the NFT marketplace from Coinbase. So far, however, the activity on the Coinbase marketplace has been extremely disappointing. On the first trading day, only 150 transactions with a total volume of around 75,000 USD took place on the Coinbase platform. These are not good results for a billion dollar company like Coinbase, although they will probably work hard to drive the market forward.

All in all, the NFT market remains a special phenomenon. Only a few expected that this would become a multi-billion dollar business, but we have now reached this point. But that says nothing about the sustainability of the market. Only time will show the extent to which interest in NFTS remains at this level.

volatility

If you look at the market from a seven-day perspective, most collections have lost more than 50 percent of their value. Apart from the Yuga NFTS accommodated on Ethereum, more than eight blockchains that occupy the top 10 positions have suffered massive losses.

The number of new wallets that make purchases has also been significantly reduced since this month. However, the analysts did not cause these steps to reverse their predictions through the market for digital art.

large value tips that have been sent this year appeared in February-when Openea finally saw significant competition in the form of look rare-and also in April, due to the Otherside coin, which was introduced by Yuga Labs, the founders of the Bored Ape Yacht Club.

Bored Ape Yacht Club

It was only a year ago since the Bored Ape Yacht Club came onto the market, but they have become a flagship collection even after the downturn of the last few days).

If you look at the all-time ranking on OpenSea, the dominance of the BayC becomes clear. While cryptopunks are still number one in terms of all-time volume, the founder of BayC, Yuga Labs, has the IP rights at this collection.

In addition, three of the five best projects from Yuga started. Mutant Ape Yacht Club and the above -mentioned Otherside Mint, which were only released last week, have a volume of 250,000 ETH or 390,000 ETH.

The Otherside project is particularly fascinating because it is an attempt by Yuga Labs to start their own meta personation, in which collectors strive to buy "documents" to "land" in the virtual world.

The fascination of this project can be seen in two more species, apart from the amazing volume that is shown in the picture above. The first is the gas war, which took place on Ethereum during the coin embossing, whereby the transaction fees rose to a barely believable four -digit amount. Second, the price campaign of APECOIN, which was necessary to buy the NFTS, told a story - it was offered all the way up and then fell by 50 percent after the embossing.

The following graphic from Kaiko shows that the financing rates also became negative for Apecoin, shortly after announced that the NFT investors would need the coin to participate. This indicates that retailers sell the coin empty and expected that it would fall after the announcement. As the orange price line shows, this naturally turned out to be a very predictive step (despite a short recovery thanks to a tweet by Elon Musk).

go forward

as discussed above, there is a forecast of $ 111 billion for the year for the first four months of the year. It is of course on another sheet whether a direct extrapolation in view of the stock market crash of the past few days is useful.

for comparison: The entire cryptom market had a trade volume of $ 14 trillion in 2021, with Bitcoin being responsible for $ 9.5 trillion. This means that the rest of the market added to $ 4.5 trillion.

If NFTS reach $ 111 billion this year, this means that they would still only make up a relatively small proportion of 2.5 percent of the commercial volume not related to Bitcoin. So maybe there is really more space for growth for NFTs, especially in view of the extremely short period of time in which you already exist.