The amount of non-fungible tokens on the Bitcoin network recovered last week as the industry stabilized.
Bitcoin NFT sales increase
According to CryptoSlam, Bitcoin (BTC) NFT sales have increased 56% in the past seven days to over $20 million. The number of buyers in the network increased by 48% to 29,403.
NodeMonkes, a relatively new collection, was the top-performing NFT in the ecosystem with over $3.4 million in sales and 302 transactions. Only Immutable X's Guild of Guardian Heroes collection sold more this week.
Bitcoin Puppets' sales were $3.03 million. This is an increase of 239% compared to the previous week.
Ordinal Maxi Biz sales exceeded $1.89 million. Meanwhile, Taproot Witches grossed $1.3 million.
Ethereum, Solana
Ethereum (ETH) remains the most active network for NFTs, processing $28 million worth of sales. Solana (SOL) had sales of $13 million, and BNB Chain had sales of $3.7 million.
September was another bad month for NFTs, with total sales down 48% to $318 million. Ethereum, Bitcoin, and Solana had sales of $108 million, $63 million, and $61 million, respectively.
Bitcoin rebounds
Weekly NFT sales increased as prices of most cryptocurrencies rebounded. Bitcoin rose to $66,000 for the first time since July, and the market cap of all coins jumped to $2.3 trillion.
Most importantly, the much-watched cryptocurrency fear and greed index has risen to 60, the greed zone, for the first time in two months. Historically, when there is greed in the market, traders move into riskier assets such as stocks and cryptocurrencies. These days, stablecoin holdings continue to decline due to Federal Reserve interest rate cuts, Chinese economic stimulus, and smart money investors.
As shown below, stablecoin holdings by these investors have fallen to their lowest levels in two years.
Nansen's chart also shows that these holdings have spiked in 2022 as the FTX and Terra ecosystems collapsed, before trending downwards since then. Smart money investors have likely reduced their stablecoin holdings and moved to cryptocurrencies and NFTs.
The main risk investors face with NFTs is that the industry is highly saturated with thousands of new collectibles. A recent report revealed that 96% of existing NFT collections of over 5,000 have “disappeared.”
In other words, there is no trading volume, no sales for more than 7 days, and no activity on social networks.
