Connect with us
Active Currencies 14033
Market Cap $2,551,159,852,220.00
Bitcoin Share 50.88%
24h Market Cap Change $0.34

Ethereum NFTs: Explaining why BAYC, MAYC are losing value

2min Read

As the price of ETH experiences an upward surge, interest in Ethereum-based NFTs declines.

Ethereum NFTs

Share this article

  • Ethereum NFTs witness a decline in interest as ETH’s price surges.
  • Overall interest in ApeCoin suffers as BAYC and MAYC get impacted.

Ethereum [ETH] witnessed a massive surge in price over the last few weeks. Even though this boded well for ETH holders, the same couldn’t be said about Ethereum-based NFTs.

A divergence is observed

As per Blur’s analysis, the ongoing ascent in the price of ETH coincides with a declining trend in the prices of NFTs denominated in ETH.

Over the past 24 hours, notable drops have been observed, with Bored Ape Yacht Club (BAYC) decreasing by 10% to 15.2 ETH, Mutant Ape Yacht Club (MAYC) down by 11%, DeGods by 8%, Azuki by 6%, and others.

Notably, there were currently 70 BAYC, 110 MAYC, and 100 DeGods blue-chip NFTs within Blend that were in auction liquidation status.

For context, auction liquidation status often implies that the NFTs are actively listed for auction, and potential buyers can place bids to acquire these digital assets.

The term is commonly used in the context of marketplaces or platforms that facilitate the buying and selling of NFTs, indicating that the specified NFTs are part of an ongoing auction process and are available for interested parties to bid on.

Popular NFT collections such as BAYC(Mutant Ape Yacht Club) and MAYC(Mutant Ape Yacht Club) were one of the few collections that witnessed the highest amount of correction.

One of the reasons for the same could be the fact that addresses could be more interested in holding ETH rather than collections on its ecosystem. This would indicate that they had more faith in the ETH token than NFT collections on the network.

Source: Blur

ApeCoin gets impacted

ApeCoin, the token associated with Yuga Labs which created BAYC and MAYC also observed a decline in price. In the last 24 hours, the price of APE fell by 3.35% . It was trading at $2.24 at the time of writing.

The decline in price, however, wasn’t significant enough to reverse the bullish trend APE had shown by exhibiting multiple higher highs and lower highs.

Even though the trend was still bullish, the network growth around APE had also declined. This indicated that the number of new addresses interested in the APE token had also fallen.  The lack of interest showcased by new addresses may further derail the chances of APE seeing green.

Read ApeCoin’s [APE] Price Prediction 2023-2024

Moreover, the velocity at which APE was trading at had also fallen. This suggested that the frequency with which traders were sending and receiving had declined.

These factors could drive down the price of APE even further in the future.

Source: Santiment





Himalay is a full-time journalist at AMBCrypto. A Computer Science graduate, Himalay writes about crypto with a special focus on the latest coin-based updates. He is a fan of gonzo journalism, transgressive fiction, heavy metal, and Manchester United.
Read the best crypto stories of the day in less than 5 minutes
Subscribe to get it daily in your inbox.
Please check the format of your first name and/or email address.

Thank you for subscribing to Unhashed.