SNEAK PEEK
- Leading NFT marketplaces OpenSea and Blur are observing a decline in total number of unique daily users and sales.
- SeaLaunch believes that while a macro scenario has caused an impact on trading patterns, high gas prices and tax season liquidity issues are other reasons.
- Researcher Hildobby believes that nothing great happening in the NFT space could be a strong reason.
Data from Dune has shown that NFT marketplaces have seen a decrease in daily users as well as sales in the last week.
NFT researcher SeaLaunch compiled a Dune dashboard and stated that the total number of unique users across popular markets such as OpenSea, Blur and LooksRare has fallen during the last seven days; thereby, dropping to 7,805 on April 19. Ever since July 31, 2021, the total users across marketplaces has been at the lowest for the first time. At that time, the number of unique users on both OpenSea as well as other marketplaces was 7,455.
On April 19, the same data from Dune showed sales a decrease across marketplaces in the last week with the number recorded at 16,149.
On November 9, 2021, the sales recorded were 12,910, which was the last time when such low sales were recorded.
OpenSea and Blur are going through a major fall in sales and users. According to another dashboard by SeaLaunch, Blur has suffered a shrinking number of sales this week with total sales being 5,688 on April 20. Moreover, the number of daily unique users has also declined with 1,777 unique users on April 19.
there’s been an incredible drop off in unique NFT buyers/sellers in the last week
less than 10k wallets now on all platforms
(h/t @SeaLaunch_ ) pic.twitter.com/pkem6v8rOe
— Giancarlo (@GiancarloChaux) April 20, 2023
For OpenSea, a Dune dashboard by researcher Hildobby shows daily traders dropping over the last week with the number recorded at 10,640 on April 18. The data shows daily trader count falling below 10,000 since July 2021.
.@opensea trader count down to pre summer 2021 NFT Boom numbers 😬
source: https://t.co/U86o9tvpGF pic.twitter.com/vbIREIMZIO
— hildobby (@hildobby_) April 20, 2023
The reason behind the decline in users and sales remains unclear. SeaLaunch believes that since there’s a noteworthy decrease in the activity across marketplaces and users both casual and professional, it seems that trading patterns are affected by a “macro scenario.” Moreover, high gas prices and tax season liquidity concerns are probable causes.
High-volume Blur airdrop farmers decreasing trading volumes besides curbing liquidity are other reasons. Furthermore, the meme coin trading frenzy with coins like PEPE in the last days is another add-on to potential reasons.
1/ Why is the Ethereum NFT Market decaying in terms of users?
Last few days were one of the worst in terms of users and sales on most NFT Marketplaces in the last 365D.
Source: https://t.co/wHKVRo4Cll@DuneAnalytics pic.twitter.com/ZJI4X72QFI
— sealaunch.xyz (@SeaLaunch_) April 20, 2023
Sharing the same thoughts, Hildobby said that he believes it’s a mix of factors though the biggest factors is probably that nothing quite interesting is going on in NFTs and the rapid increase in gas prices isn’t doing any good.
All metrics do not seem negative. For instance, trading volume in ETH across NFT marketplaces is quite stable over the last 30 days, as stated by Dune. According to SeaLaunch, in comparison to the number of daily active users across Blur and OpenSea and Blur, Uniswap has gained daily active users during the last two weeks.
