In the weeks leading up to November, non-fungible token (NFT) data showed a constant upward jump in weekly sales. While volume is still far from its peak in 2021, industry executives believe the bullish trend will likely continue.
On November 6, data released by blockchain analytics firm Nansen showed that NFT sales volume jumped from $56 million in the week ending October 9 to $129 million in the week ending November 6.
According to Jonathan Perkins, co-founder of NFT marketplace SuperRare, this trend is likely to continue in the coming months. The executive believes that the worst is over and expects upward swings soon. He said:
โI think the worst of the NFT hangover-induced bear market is behind us and things are changing. Market volume will always be volatile, but I expect a massive macro uptrend over the next six months.โ
Perkins also believes the NFT crash was โpurely sentimental.โ The SuperRare co-founder told Cointelegraph in a statement that in the last 18 months, nothing "inherently went wrong" with NFTs.
โNFTs are a fundamental advancement on the Internet because they introduce traceable origin and ownership of digital objects. โThis unlocks a new online creator economy that may be 100 times bigger than Web2,โ he added. The executive also believes that, in the long term, NFTs will be a big part of the online economy, and the space will see volumes that will โeclipse those of the last cycle.โ
Commenting on the topic, Sonia Shaw, partner and vice president of partnership at digital asset exchange CoinW, said the recent growth in NFT sales reflects a โbroader and deeper interestโ that extends beyond art and collectibles. Shaw told Cointelegraph that NFTs represent a significant change in the management of physical and digital assets. She explained:
โIts application to verify the authenticity of unique and valuable items across industries is essential. [...] โNFTs are an essential part of the evolving digital economy, especially with their integration into Web3 and the metaverse.โ
Shaw also highlighted that potential use cases for NFTs could revolutionize industries such as identity management, real estate, healthcare, finance, and supply chain logistics. While the executive believes in the role of NFTs in advancing digital ownership, Shaw also told Cointelegraph that it is essential that players are also aware of the challenges. This includes regulatory considerations, environmental impact and safety issues.
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Meanwhile, Oscar Franklin Tan, CFO of NFT platform Enjin, echoed this sentiment. In defending NFTs, Tan highlighted that NFTs have already established themselves as a unique digital asset class, completely separate from cryptocurrencies.
The executive also told Cointelegraph that many investors entering the digital asset space in 2021 were primarily interested in NFTs. Additionally, Tan also noted that NFT communities such as Bored Ape Yacht Club (BAYC) and Azuki have โremained intactโ despite the bear market.
As more investors get into cryptocurrencies, they may eventually dive into NFTs as well. โThe renewed interest in Bitcoin and Ethereum will necessarily extend to top-line NFTs and newer collections, including gaming NFTs,โ Tan added.
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