Growth Rate of the NFT Market
Variability is something we all experience in crypto. One season the hot topic is bitcoin itself, the next season it's non-transparent variants of bitcoin, then it's blockchains which are used to build decentralized applications (dApps), after that comes the DeFi fever where financial dApps spread like wildfire. NFT was a big trend in the 2021 season. In this day and age, you need to react and adapt quickly. You have a few months to recognize the trend, then everyone rides the wave for a few months, and then the bear market happens (decline).
Let's recall how quickly these trends can emerge. Together we will look at the latest one, that is the NFT images in conjunction with the largest online marketplace for these digital items.
In September 2018, OpenSea registered around 500 users per month. This is when people started discovering the NFT collection CryptoKitties, which was a big hit. It was a collection of cat images that could be multiplied using game mechanisms to create rarer NFT pieces. Personally, at the time, I didn't understand how anyone could waste their time on this when there were hot topics such as new blockchains, altcoins, and their ICOs. Today, I understand it. These were the people who understood the potential of NFTs and entertained this new idea back in 2018.
A few years down the line, activity on OpenSea began to increase. The number of monthly users was around 7,000 at the beginning of 2021. The following quarter of that year, the number was over 50,000 and by September 2021 it was already over 350,000 monthly users. We saw the peak of the NFT fever at the end of 2021, when the number of OpenSea users almost reached the 800,000 mark.
To help visualize this cycle, we have attached a chart showing the number of trades executed for the period September 2020 to August 2022. The candle for September 2022 is still forming at the time of writing.
Sources:
analyst opinion
Rocket Unit
Variability is something we all experience in crypto. One season the hot topic is bitcoin itself, the next season it's non-transparent variants of bitcoin, then it's blockchains which are used to build decentralized applications (dApps), after that comes the DeFi fever where financial dApps spread like wildfire. NFT was a big trend in the 2021 season. In this day and age, you need to react and adapt quickly. You have a few months to recognize the trend, then everyone rides the wave for a few months, and then the bear market happens (decline).
Let's recall how quickly these trends can emerge. Together we will look at the latest one, that is the NFT images in conjunction with the largest online marketplace for these digital items.
In September 2018, OpenSea registered around 500 users per month. This is when people started discovering the NFT collection CryptoKitties, which was a big hit. It was a collection of cat images that could be multiplied using game mechanisms to create rarer NFT pieces. Personally, at the time, I didn't understand how anyone could waste their time on this when there were hot topics such as new blockchains, altcoins, and their ICOs. Today, I understand it. These were the people who understood the potential of NFTs and entertained this new idea back in 2018.
A few years down the line, activity on OpenSea began to increase. The number of monthly users was around 7,000 at the beginning of 2021. The following quarter of that year, the number was over 50,000 and by September 2021 it was already over 350,000 monthly users. We saw the peak of the NFT fever at the end of 2021, when the number of OpenSea users almost reached the 800,000 mark.
To help visualize this cycle, we have attached a chart showing the number of trades executed for the period September 2020 to August 2022. The candle for September 2022 is still forming at the time of writing.
Sources:
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