Leading non-fungible token (NFT) collections experienced significant weekly drops as Ether retreated from its record highs.
Information from decentralized finance aggregator DefiLlama indicated that top projects had their floor prices decrease by double digits over the past week. Notable blue-chip NFT collections such as Pudgy Penguins, Bored Ape Yacht Club (BAYC), and Doodles felt the brunt of these declines.
Pudgy Penguins, ranking as the leading NFT collection by 24-hour and 7-day volume, saw a 17.3% decrease to a floor price of 10.32 Ether (ETH). BAYC fell 14.7% to 9.59 ETH, while Doodles faced one of the steepest declines, plummeting 18.9% to 0.73 ETH. Other prominent collections, including Moonbirds and Lil Pudgys, saw drops of 10.5% and 14.6%, respectively.
This drop in NFT floor prices coincided with a sharp ETH retracement following its new all-time highs. On Monday, CoinGecko data reported that ETH had hit a high of $4,946. However, ETH fell 12% on Tuesday to $4,342 before experiencing a slight recovery. As of this writing, the cryptocurrency is trading at $4,433.
CryptoPunks show stability amidst market downturn
While numerous collections faced hefty declines, not all NFT projects reacted negatively. CryptoPunks, remaining the top NFT collection by market capitalization, exhibited relative strength, with only a 1.35% drop over the week.
Despite the declines in floor prices among top collections, trading volumes remained robust. Throughout the week, Pudgy Penguins topped the market with approximately 2,112 ETH (around $9.36 million) in trading volume, followed by Moonbirds at 1,979 ETH ($8.77 million).
CryptoPunks trailed close behind with 1,879 ETH (roughly $8.33 million) in volume, while BAYC recorded 809 ETH ($3.59 million).
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NFT market cap declines to $7.7 billion
While blue-chip NFTs faced double-digit drops, the larger NFT sector also fell by nearly 5% to a total of $7.7 billion, according to data from NFT Price Floor.
As of Aug. 13, NFT Price Floor reported that the overall NFT market cap peaked at $9.3 billion, a 40% increase from July’s $6.6 billion, driven by heightened NFT activity following the ETH surge.
By Aug. 18, the NFT market cap dropped further to $8.1 billion, erasing $1.2 billion from the valuations of digital collectibles.
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