Trading volume of nonfungible tokens (NFT) took a massive hit after the collapse of Silicon Valley Bank (SVB) last week as traders fled the market fearing the repercussions of the main bank of the United States going on.
According to a March 16 report from data aggregation platform DappRadar, NFT trading volume was between $68 million and $74 million during the SVB collapse on March 10, then dropped to $36 million on March 12.
The decline was accompanied by a 27.9% drop in the number of daily NFT sales between March 9 and March 11.
11,440 NFT traders were also “active” on March 11, the lowest number recorded since November 2021 according to DappRadar.
The report explains USD Coin’s (USDC) low of $0.88 is moving traders’ attention away from the NFT market:
As a result “NFT traders became less active,” Dappradar explained.
Despite the trading cold, the market value of “blue chip” NFTs was not affected, with the floor prices of collections such as Bosen Apes Yacht Club (BAYC) and CryptoPunks only slightly falling.
“The recovery was swift, demonstrating the resilience of these top-tier NFTs,” DappRadar said. “Blue-Chip NFTs remain a sustainable investment in a troubled market.”
The base price of BAYC and CryptoPunks may be attributed to the company behind the collection, Yuga Labs, which insists it only has “super limited exposure” to SVB, according to to co-founder Greg Solano.
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However, the floor price of the Moonbirds collection fell by a significant 35.3% from 6.18 ETH to 4 ETH on OpenSea, following the news that PROOF – the team behind NFTs – has grown. exposure for SVB.
This was partly triggered by one Ethereum address selling nearly 500 Moonbirds NFTs for a loss of between 9% and 33%, DappRadar explains.
Sales on the NFT Blur market cost a total of 700 Ether (ETH).