The overall valuation of the non-fungible token (NFT) market dropped to $2.5 billion in December, marking a significant 72% decrease from its peak of $9.2 billion in January. This decline reflects a broader downturn in participation, with fewer buyers and sellers engaging in transactions. Weekly NFT sales during the first three weeks of December consistently failed to exceed $70 million, indicating a continuing drop in activity following a lackluster November.
Market data from CryptoSlam highlights a decrease in unique buyers, which fell from 204,032 in late November to 135,120 by the third week of December. The number of unique sellers also fell below 100,000 for the first time since April 2021, representing a 35.6% decline. Total transactions in the third week were recorded at 800,000, down from fewer than 1 million in the opening week.
Despite some interest in physical collectibles earlier in the year, the NFT market has struggled to regain momentum. Prices for top collections, such as CryptoPunks and Bored Ape Yacht Club, have mirrored the market's downturn, with declines ranging from 12% to 28% over the last month.