Bitcoin and Ether are struggling with a bloody starting year. When Bitcoin briefly plunged below $40,000 on Monday, Ether, the second-largest coin, also see the loss of 9.8% for the year to date.
Yet, there is always a bull market somewhere. While the crypto market might seem boring now with its rangebound trading, the non-fungible tokens (NFT) space continues to buzz. OpenSea, profiting from the booming NFT economy, has generated nearly $2.7 billion in volume for the first half of January. Each day so far, OpenSea has fetched $150 million in trading volume.
The marketplace is on track to surpass its own record high of $3.4 billion notched in August, according to data from Dune Analytics.
What we should know
The uptick in OpenSea transactions has been driven by the price surge in NFT collection Bored Ape Yacht Club (BAYC) and its sister collections, Mutant Ape Yacht Club (MAYC) and Bored Ape Kennel Club (BAKC). The BAYC collections alone account for approximately 10% of the volume on OpenSea, according to calculations by CoinDesk.
Other key factors contributing to the record pace for OpenSea were the launch of NFT marketplace aggregator Genie in November, which allowed deep-pocketed speculators to batch buy and sell NFTs in a single transaction. And the surging number of OpenSea active users, which at 260,369 is rapidly approaching the all-time high of 362,679 tallied last month.
OpenSea is by far the most popular NFT marketplace for the moment. However, the fast-moving crypto market is always unpredictable as more and more companies and crypto exchanges join the field. The competitions have increased, which poses a threat to the dominance of OpenSea.
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