In the first quarter of 2024, the NFT trading space experienced a significant surge in volumes, reaching a total of $4.7 billion across the top 10 marketplaces. The leading marketplace during this period was Blur, with $1.5 billion in volume and a market share of 27.6%. However, Magic Eden emerged as a major competitor, surpassing Blur in March with the help of its Diamond reward program and the launch of a royalty-enforced Ethereum marketplace with Yuga Labs.
Magic Eden saw a remarkable increase in trading volume, soaring by 393% from $153 million in December to $757 million in March. On the other hand, OKX, which was once a dominant force in Bitcoin NFT trading, experienced a significant decline in volumes, dropping by over 73% from December 2023 to March 2024, with a dwindling market share of 9.5%.
NFT lending volumes spiked by over 50% in January compared to December, attributed to the increased demand for Pudgy Penguins. Six popular platforms witnessed a surge in lending volumes, from $1.48 billion in the fourth quarter of 2023 to $2.13 billion in the first quarter of 2024, marking an increase of 43.6%.
The floor price of Pudgy Penguins rose by 98% since the beginning of the year, even as most blue-chip NFTs saw a decline. This led to a significant increase in loans originated from the collection, jumping by 209% from $252 million to $781 million in the first quarter of 2024. However, loans originated from Bored Apes and Mutant Apes experienced a decrease from 47.1% to 43.6%.
Overall, the NFT trading space in the first quarter of 2024 showcased a dynamic landscape with shifting market leaders and emerging competitors. The rise of Magic Eden and the decline of OKX reflect the evolving nature of the industry, while the surge in NFT lending volumes and changes in collection popularity indicate the ever-changing trends in the market. Investors and traders need to stay vigilant and adapt to these fluctuations to navigate the volatile world of NFT trading successfully.
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