August showed a major decline in the NFT industry in 2024. Monthly sales fell below $400M for the first time this year, totaling $374M. This is a 76% drop from March's peak of $1.6B.
The year began strongly, with Q1 revenues of $4.1B. However, Q2 saw a 45% decline to $2.24B. The downturn persisted throughout the summer, with July sales totaling $427M.
However, something interesting happened: transaction volume was higher than the previous month of June. July saw 10.7M transactions, an 87% increase over June. The number of sales in August dipped to 7.3M, while the average selling value increased by 27% to $50.74.
Early September data show an increase in average sale value to $86.04. This shows a move toward fewer, higher-value transactions. The NFT market has several problems. Despite rare rises in weekly sales, the general trend is negative. The continued drop raises concerns about the market's future.
While increased average selling prices provide some promise, the significant reduction in overall sales volumes is worrying. As it navigates these volatile times, the NFT market's current shape is under review.
