A Thriving NFT Market: December Monthly Report
In collaboration with Footprint Analytics, our December Monthly NFT Report highlights the robust growth and key shifts that shaped the year-end trends in the NFT market. The month of December saw a notable surge in the crypto and NFT realms, with Bitcoin and Ethereum experiencing significant upward trends, signaling a rejuvenated market. The NFT sector, in particular, demonstrated its vitality with soaring trading volumes and an increase in unique user (wallet) counts, indicative of an evolving and maturing landscape.
Highlights of December’s NFT Market Growth
December was a remarkable month for the NFT market, as trading volumes surged by 32.3% to reach $852.2 million. The market cap of NFTs also displayed resilience, growing by 6.5% to close at $5.58 billion. The Blue Chip Index saw a modest rise of 4.6%. These figures clearly indicate the growing demand and interest in NFTs.
Insights from Footprint Analytics: December NFT Market Analysis
According to data from Footprint Analytics’ NFT research page, Ethereum continued to lead the NFT market with a substantial trading volume of $836.1 million, comprising 98.1% of the total market activities. Ethereum’s unique user count grew by 10.9% in December. Polygon and BNB Chain also witnessed increases in user engagement, with Polygon’s user count rising by 19.2% and BNB Chain’s user count increasing by 41.8%.
In terms of NFT marketplaces, Blur achieved a remarkable yearly volume of $7.26 billion, a significant leap from $646.03 million in 2022. OpenSea remained influential, despite a drop in volume to $3.31 billion from $20.91 billion. OpenSea also reported a slight decline in unique users, while Blur’s user base surged by 189.78%, indicating its rapid ascent in the NFT market.
Blockchain Engagement Trends in December’s NFT Market
The data from December’s NFT market revealed diverse user engagement trends across blockchain networks. Ethereum continued its upward trend, growing its unique user count to 155.74K, representing a 10.9% increase from the previous month. Polygon and BNB Chain also saw increases in their user counts, recovering from previous declines.
The 2023 NFT market volume totaled $13.12 billion, marking a decrease from the previous year’s high. Ethereum’s market dominance slightly receded to 97.8%, down from 2022’s 99.8%, indicating a gradual diversification in the market. These trends suggest that users are exploring alternative chains for their NFT activities.
Funding and New Developments in the December NFT Market
December was a bustling month in the NFT market, with five funding rounds raising a total of $159.88 million. Notable developments included LINE NEXT raising $140 million to expand the Web3 ecosystem, Forbes launching its NFT collective wallet for Web 3.0, and Ubisoft introducing “Warlord NFTs” ahead of the highly anticipated release of “Champions Tactics: Grimoria Chronicles” in 2024.
Overall, the NFT market in December showcased robust growth and key shifts that shaped the year-end trends. The increasing trading volumes, user engagement, and funding activities indicate a maturing NFT landscape with significant potential for innovation and continued growth in the future.
Analyst comment
Positive news: The NFT market experienced robust growth in December with a surge in trading volumes, increased user counts, and positive market cap growth. Ethereum remained the dominant blockchain, but alternative chains like Polygon and BNB Chain also saw increased user engagement. The market showed resilience despite a slight decrease in overall volume compared to the previous year. Funding rounds and new developments further indicate the market’s potential for continued growth and innovation. Analysis: The NFT market is expected to continue its upward trajectory, with increased adoption and innovation in the coming months. Alternative chains may gain more traction as users explore options beyond Ethereum. Overall, the market shows promising signs of maturity and potential for future growth.
