Bored Ape Yacht Club and Yuga Ethereum NFTs Experience Value Decline Despite Market Surge
Bored Ape Yacht Club (BAYC) NFTs, once the hottest digital property on Ethereum’s NFT market, are now facing a significant decline in value. Yuga Labs’s signature collection and other affiliated NFTs have reached new lows.
The current floor price for BAYC is approximately 13 ETH, equivalent to $51,000. This is the lowest price since August 18, 2021, when it traded for 13.65 ETH. The data from CoinGecko reveals this information.
Compared to its all-time high floor price of 153.7 ETH on May 1, 2022, BAYC has experienced a staggering drop of 91.3%.
Mutant Ape Yacht Club (MAYC), a spin-off collection by Yuga Labs, is also posting an all-time low floor price of 2.18 ETH.
Another BAYC-themed collection called Otherdeeds is currently trading at an all-time low floor price of 0.19 ETH. Otherdeeds represent title deeds for sales of digital plots of land in the Bored Ape metaverse game Otherside.
When Otherdeeds was launched in May 2022, it cost 305 ApeCoin to mint one, which was nearly $6,000 at the time. Even considering Ethereum’s rally of 50% since then, the current floor price of Otherdeeds is only $746.
Move Over Ethereum! Ordinals Are Racing Ahead
Ethereum NFTs like Bored Ape Yacht Club dominated the market during crypto’s bull run in 2021 because almost everything was on Ethereum. However, now we have exciting alternative NFT markets on Solana and Cardano. Yet, none of Ethereum’s competitors in the NFT space outshine its oldest rival: Bitcoin.
The Ordinals protocol allows data to be inscribed on individual satoshis, which are the smallest units of Bitcoin, similar to cents to a dollar. This feature adds functionality to the network and enables users to mint non-fungible and fungible tokens on Bitcoin and build dapps.
In early March 2024, Ordinals NFTs generated $168.5 million in sales over a seven-day period, surpassing Ethereum NFTs, which recorded $162 million during the same period.
Miners may also need to rely on Ordinals to compensate for a potential shortfall after Bitcoin’s halving on April 19. This date marks the reduction of block rewards by half. As Bitcoin rewards continue to halve every four years, miners will need to generate revenue from Ordinals transaction fees. Currently, Ordinals activity accounts for approximately 20% of miners’ revenue.
Hot Take: The Decline of Bored Ape Yacht Club and Yuga Ethereum NFTs
The once highly sought-after Bored Ape Yacht Club (BAYC) NFTs and other affiliated collections from Yuga Labs are currently experiencing a significant decline in value. The floor prices for BAYC, Mutant Ape Yacht Club (MAYC), and Otherdeeds have reached all-time lows.
This decline raises questions about the sustainability and long-term value of these popular Ethereum-based NFTs. It also highlights the growing competition from alternative NFT markets on Solana and Cardano.
Meanwhile, Bitcoin is making strides in the NFT space with the Ordinals protocol, which allows for the creation of NFTs on the Bitcoin network. The recent success of Ordinals NFTs in terms of sales volume indicates a growing interest in Bitcoin-based NFTs.
As the crypto market continues to evolve, it will be interesting to see how Ethereum and Bitcoin compete in the NFT space and whether Ethereum can regain its dominance or if Bitcoin’s Ordinals protocol will continue to gain traction.
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