Are NFTs Dead? This week, the most expensive piece from the CryptoPunks NFT collection found a new home. The timing is perfectly ironic.
This week, the most expensive piece from the CryptoPunks NFT collection found a new home. The timing is perfectly ironic, given the current cliff that NFT fever has fallen off of.
A Historic Purchase: CryptoPunk #5822
In 2022, digital art trader Deepak Thapliyal made waves, purchasing CryptoPunk #5822—a rare alien punk with a bandana—for a jaw-dropping 8,000 Ether, or $23.7 million.
This purchase set a new bar for CryptoPunk NFTs and ranked as the fourth priciest NFT sale ever.
End of an Era.
👋 #5822, Enjoy your new 🏡
— Deepak (@dt_nfts) August 19, 2024
Thapliyal’s parting words to CryptoPunk #5822 hit X on August 19, sending it off with sentimental vibes. Blockchain data confirmed the NFT’s journey to an unknown address, with the seller experiencing a significant loss from the sale.
This can’t be good news if you’re an NFT holder.
NFT.NYC 2024 was a barren wasteland, with the most popular digital collectible being Bitcoin Ordinals, a project that is only a year old.
If this was a bear market for NFTs, we would have to look at the bottom. Yet, in crypto, things can always get worse.
The grapevine states that CryptoPunk #5822 is a brutal 43.6% loss from its original sticker price.
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Are NFTs Dead? Declining NFT Market Trends
NFT sales have been hacked and slashed like Jason at a summer camp for several years.
According to Coin Telegraph, NFTs were demolished in Q2 of 2024, with a 45% quarter-on-quarter decline. July was more embarrassing with NFT sales volume their lowest since November 2023.
Adding to the mess, digital art collector Sotheby tried to shake things up with a CryptoPunk and a Beeple auction, hailing it as a milestone for NFT art. But the event fell flat. There was just one lowball bid for the CryptoPunk, and it wasn’t anywhere close to the $70,000 to $100,000 auctioners thought they’d recoup.
This could be it for NFTs. Certainly, the haters are all out. Yet, if you believe in digital art’s long-term value, it now seems low to buy in.
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Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.
