The non-fungible token markets take a massive hit as the broad crypto market sees extended turmoil with plummets beneath the $1T value area. Reports from Bloomberg suggest the NFT Index, which tracks weighted by every NFT circulating supply and performance, declined by about 23% yesterday.
Moreover, the Monday market tumble saw the celebrity-favorite Bored Ape Yacht Club’s NFTs dropping 25%. That presented a massive loss as most BAYC NFTs value millions each within the past couple of months.
The global macroeconomic setup remains the primary driver behind the ongoing market crash. The United States CPI inflation numbers hit 8.6% last Friday. Financial analysts expect the Fed Reserve to declare a 75bp interest rate surge to control the escalating inflation. Such a move could bring a negative effect on the US economy with the potential to dip into recession.
The NFT world also encounters a crunch like the broad crypto space. Nevertheless, NFTs still stay in a lucrative spot compared to the cryptocurrency marketplace. Top non-fungible projects have attracted impressive demand this year, regardless of broad market retracements.
Reports from Bloomberg show investors developed substantial NFT portfolios within the last six months, even with liquidity staying low than fungible assets such as Ether and Bitcoin.
Beware of Scammers
Yuga Labs’ pseudonymous co-founder Gordon Goner warned about a potential attack on their social media platform, especially Twitter. On 12 June, he tweeted about receiving credible data about impending social media account exploits. Though they have communicated with Twitter to ensure active account monitoring and improved security, Goner advises investors to remain alert.
Attacker breached Otherside and BAYC Discord groups early this month, steading over 145 $ETH from investors.
On the other hand, the crypto market sees massive crashes as weekend losses extend into the new week. The situation worsened over the previous hours, with most assets revising lows seen two years ago.
Moreover, the global market cap lost the $1T level. While publishing this blog, the cumulative value of all digital assets stood at $951.57 billion, losing 6.71% over the past day.
Stay around for the latest developments within the financial world.
Disclaimer: NFTs and Cryptocurrencies are highly volatile, conduct your own research before making any investment decisions. Some of the posts on this website are guest posts or paid posts that are not written by our authors (namely Business Voices content) and the views expressed in these types of posts do not reflect the views of this website. Please read our full disclaimer here.
