Pay Close Attention to NFTs

In the future, the NFT market may perform on its own terms, as NFTs have unique characteristics.

Can NFTs lead a crypto recovery? It’s a little early to make such a claim, not least because many crypto participants remain convinced that the crash is not yet over and recovery remains distant.

Whether or not such readings are correct will become apparent over the coming weeks and months, but it’s noteworthy that NFT markets have seen a healthy-looking recovery over the past week, considering the general state of crypto (as in a smoldering wreckage).

This comes after an FTX-triggered dip, but the subsequent recovery has been swift and includes increased floor prices and sales volumes. This uptick is pronounced across the top ten NFT projects, taking in established, top-tier collections (such as the Yuga Labs stable) but also some newer projects.

Utility Not Needed

One reason NFTs may perform differently from the rest of the crypto is the question of utility, or, more accurately, a lack of utility. Regarding regular cryptocurrencies, it’s fair to ask, when assessing value, what utility they provide, and who will take advantage of it.