In the first half of 2024, the NFT market was highly volatile.

TL,DR：

• Overall Transaction Data: In January 2024, NFT transactions peaked at $1.28 billion, marking a 35.3% increase from January 2023. However, the market saw fluctuations, with a significant drop in May to $795 million, a 42% decline from April.
• Multi-Chain Transactions: Ethereum remained the dominant force in the NFT market, though its share fluctuated from 66.67% in January to a low of 45% in April, rebounding to 58.22% in May and 62.2% in June. Bitcoin, spurred by the Ordinals protocol, saw its NFT market share rise from 9.4% in January to 33.47% in April, before falling back to 12.37% in May and 11.76% in June. Solana’s market share stayed relatively steady, while Polygon’s saw significant changes.
• Key NFT Trading Platforms: Blur led with a 46.38% market share. Magic Eden increased its share to 11.74% through multi-chain support and airdrop initiatives, while OpenSea’s share decreased to 15.96%. New platforms like OKX NFT and Tensor grew their market presence through innovative incentives.

Total Volume Data: Huge Volatility in the First Half of the Year, with Volume Plunging in May

In December 2023, the NFT market hit a record high, with total transaction volumes reaching approximately $1.7 billion. NFT sales on the Bitcoin network exceeded $881 million for the first time, outpacing Ethereum’s $365 million and Solana’s $325 million, according to NFT Pulse.

However, in January 2024, the total NFT market volume dropped to $1.28 billion, a 24.7% decline from December 2023. The overall trend in the first half of 2024 was one of rising and then falling volumes, peaking at $2.157 billion in March. In May, the total NFT transaction volume plunged from $1.38 billion in April to $795 million, a steep 42% drop. Specifically, NFT transaction volumes on Bitcoin, Ethereum, and Solana fell by 80.5%, 20%, and 50.1%, respectively. Additionally, the number of NFT traders decreased in May, particularly on the Bitcoin network, where trader numbers fell from 393,000 in April to 114,400.

Year-over-Year Comparison: 2024 vs. 2023

January Comparison

• January 2023: The NFT market saw a transaction volume of nearly $946 million.
• January 2024: Transaction volumes increased to $1.28 billion, a 35.3% rise from January 2023, indicating sustained market growth.

May Comparison

• May 2023: The transaction volume in the NFT market was about $870 million.
• May 2024: The volume fell to $795 million, representing an 8.6% decrease from May 2023, highlighting a notable market downturn.

Data Sources:NFT Pulse

Summary

Despite a strong start to 2024, the NFT market experienced significant volatility and decline as the year progressed, particularly in May, where both transaction volumes and activity levels fell. This suggests that the NFT market faced considerable challenges in the first half of 2024, requiring ongoing observation of future market trends and recovery potential.

Multi-Chain Transaction Volume: BTC’s Market Share Expands, Temporarily Surpassing Ethereum

In the first half of 2024, the NFT market saw significant shifts in transaction volume across different blockchains. Here’s an overview of the market share changes for key blockchains:

• Ethereum: Held a market share of 72.3% in 2023. In the first half of 2024, its share declined but then rebounded, though it briefly lost its leading position.
• Bitcoin: Had a 12.9% market share in 2023. In early 2024, its transaction volume saw huge fluctuations, with market share peaking at around 40% before dropping back to about 12%.
• Solana: Accounted for 7.4% of the market in 2023. By the first half of 2024, Solana’s market share grew significantly to around 20%, maintaining the most stable share amidst market fluctuations.
• Base: Had a negligible market share of 2.3% in 2023. Due to the influence of MEME and Degen launching L3, its NFT transaction volume surged, peaking at a 10.62% market share.
• Polygon: Held a 2.2% market share in 2023. Its transaction volume in early 2024 was highly volatile, with significant ups and downs.

Data Sources:NTF Pulse

Specific Monthly Data (Source: NFT Pulse)

January 2024:

• Bitcoin: 9.4% market share.
• Ethereum: 66.67% market share.
• Solana: 17.75% market share.
• Polygon: 5.9% market share, with notable weekly drops.

February 2024:

• Bitcoin: Increased to 18.37% market share, driven by collections like NodeMonkes from the Ordinals.
• Ethereum: 62.15% market share.
• Solana: 17.85% market share.
• Polygon: Dropped to 1.32%.
• Base: Started gaining traction, reaching 0.15% market share due to the MEME sector.

March 2024:

• Bitcoin: Continued rising to 26.02% market share.
• Ethereum: 48.76% market share, with weekly declines.
• Solana: 21.44% market share.
• Base: Surged to 6% market share by the end of March.

April 2024:

• Bitcoin: Peaked at 33.47%, briefly surpassing Ethereum at 43.5% in early April.
• Ethereum: Fell to 45% market share.
• Solana: Slight decline to around 16.37%.
• Base: Maintained 3% market share.

May 2024:

• Bitcoin: Plummeted to 12.37% market share.
• Ethereum: Recovered to 58.22%.
• Solana: 13.5% market share.
• Base: Rose to 10.62%.

June 2024 (up to June 24):

• Bitcoin: Continued declining to 11.76% market share.
• Ethereum: Recovered to 62.2%.
• Solana: Dropped to 9.4%.
• Base: Fell to 4.56%.
• Polygon: Rebounded to 15.83%.

Summary

In summary, the first half of 2024 saw significant shifts in NFT market share across various blockchains. BTC’s NFT transaction volume notably increased, largely due to the Ordinals protocol. BTC’s market share grew from 9.4% in January to 33.47% in April, briefly surpassing Ethereum. Although BTC’s share dropped to 12.37% in May and 11.76% in June, its overall growth remained strong.

Ethereum, despite some fluctuations, maintained its dominant position. Its market share fell from 66.67% in January to 45% in April but recovered to 58.22% in May and 62.2% in June. Solana remained relatively stable, while Polygon saw significant volatility, rebounding to 15.83% in June.

These changes highlight the dynamic nature of the NFT market and the competitive potential of different blockchains. As new protocols and projects continue to emerge, the NFT market share is likely to keep evolving, offering both opportunities and challenges for participants in the coming months and years.

Marketplace Market Share Changes: Blur Leads, Magic Eden Temporarily Tops in Late May and Early June

2023 Market Share of Major NFT Marketplaces

• Blur: With strategies like airdrop incentives, zero transaction fees, and not enforcing creator royalties, Blur surpassed OpenSea to become the top NFT marketplace, capturing 47.61% of the market. This approach attracted many users, especially those aiming to maximize trading profits.
• OpenSea: Despite stiff competition, OpenSea held its ground as a leading NFT platform with a 20.36% market share. As a long-established platform, it remained a favorite for many users, especially in the Ethereum ecosystem.
• X2Y2: Had an average market share of 8.79% in 2023. It started the year strong but saw its share drop to negligible levels by year-end. Initially, X2Y2 attracted many users with low transaction fees and no-royalty policies, but its competitive edge diminished over time.
• OKX NFT: Made a significant impact in 2023 with an average market share of 7.4%, focusing on the BTC ecosystem and becoming a key platform for Ordinals NFTs in the second half of the year. OKX’s support for multiple chains and zero-fee transactions attracted many users, particularly in the Bitcoin space.
• Magic Eden: Held a 2.66% market share, mainly in the Solana NFT market. Its share grew significantly at the end of 2023, thanks to its expansion into multiple blockchains, including Bitcoin.

Data Sources:NFT Scan

Overall, the NFT market will show significant changes in market share in 2023. Major NFT trading platforms not only continue to innovate in technology and user experience, but also attract and retain them by expanding multi-chain support and introducing various reward mechanisms. user. This diverse competitive environment not only promotes the development of each platform, but also promotes the prosperity and progress of the entire NFT market.

2024 Market Share of Major NFT Marketplaces (as of June 24)

1. Blur: Continues to lead with a 46.38% market share, primarily driven by Ethereum transactions, with Blast chain transactions only making up 0.56%.
2. OpenSea: Despite intense competition and a lack of innovative measures this year, OpenSea’s market share dropped to 15.96%. However, it remains a key NFT trading platform, especially within the Ethereum ecosystem, with a large user base.
3. X2Y2: Market share has become negligible, almost disappearing from the competitive landscape.
4. OKX NFT: Maintains a stable performance with a market share around 5.37%. Supporting multiple blockchains like Ethereum, Solana, and BSC, OKX NFT attracts many users with its user-friendly interface and low transaction fees.
5. Magic Eden: Expanded its market share to 11.74%, becoming a major platform for Solana and BTC NFTs. Its expansion strategy and potential airdrop plans have significantly boosted its user base and trading volume.
6. Tensor: Increased its market share to 4.49% in the first half of the year, driven by airdrop incentive plans. Tensor’s strategy has greatly enhanced user engagement and trading activity.

Data Sources:NFT Scan

Summary

The above information shows that Blur and Magic Eden have been particularly outstanding in 2024. Although OpenSea has lost some market share, it still holds an important position. Newer platforms like OKX and Tensor are gradually increasing their market influence with innovative incentive strategies.

Conclusion

In the first half of 2024, the NFT market saw significant fluctuations and overall instability. Despite the launch of the Bitcoin ETF bringing in new capital, it did not lead to a noticeable market increase. Instead, a recent sharp downturn triggered panic, causing transaction volumes to plummet and investor sentiment to drop. This volatility highlights the high risk and uncertainty in the market, leaving the question of whether the NFT market will see a bull run in the future still unanswered.

Disclaimer:

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