Bitcoin dominates the rally as Powell turns dovish. Let us bring you the customary NFT and digital market overviews for the past two weeks.
🌐 Two Weeks Market Brief
Bitcoin for the past 2 weeks ending 4th December rose 13.27%, Ethereum 10.98% and the rest of the market 3.47%. Bitcoin dominates the rally with Ethereum closely trailing behind.
Bitcoin staged a substantial rally following the resolution of Binance’s legal issues with the U.S. Department of Justice, coupled with the announcement of its CEO, Changpeng Zhao, stepping down. Although it initially prompted a negative response, the market quickly realized that it was positive for the Bitcoin spot ETF applications leading BTC to surpass 40k. In the alt-coin space, Luna Classic went up significantly buoyed by a new team promising to revive the failed algorithmic stablecoin. However, its sustainability is at best questionable.
Figure1: Gold prices briefly reached all-time high before pulling back / Source: Tradingview
The rally in digital assets continues to be supported by the macro outlook. In a speech last Friday, Powell suggested that inflation was ‘moving in the right direction’ and that the Federal Reserve is at least done with hiking rates. Both interest rates and the dollar saw declines leading to a particularly strong reaction in the gold market, briefly pushing it to reach all-time high prices. Concerns are now centered on the possibility of an economic downturn, which could potentially lead to a decline in risk assets as well.
NFT Market Overview
Ethereum NFT market volume is on the rise. 2 weeks ago, we were at $12 million, but right now it has more than tripled sitting at $38.2 million. This rally is not only evident in the Ethereum market but also in Solana as well. NFT market volume in Solana is rallying lately led by Mad Lads PFP collection, putting them amongst major Ethereum-based PFP collections like Azuki (current floor price 6.69 ETH / $14,918).
Looking back at the past year, the blue chip index is almost at the halfway point compared to the beginning of the year. Nevertheless, we are currently on an uptrend, which is a positive sign.
$Here are top 5 collections based on trading volume over the past week including the floor price and the floor change(%) of each collection. A notable collection this week is Pudgy Penguins. Its floor price has risen 93% from last week, which seems to have been driven by farming on Blur.
Here are top five sales in the NFT market in the past 7 days:
- Bored Ape Yacht Club #2130: 140 ETH
- Bored Ape Yacht Club #5847: 138 ETH
- Otherdeed for Otherside #71490: 80 ETH
- CryptoPunks #5051: 80 ETH
- CryptoPunks #9208: 70 ETH
In the Art side of NFTs, one of the main news has been on Flamingo DAO’s sweep last week, which surprised everyone, in a positive way. Flamingo DAO is an NFT investment fund-collecting bluechip NFTs but has a significant position in the space as a major collector of NFT Art. In just few hours, it collected NFT Art (1/1s of Beeple and XCOPY, Generative Art, AI Art, etc) worth 450 ETH (~$990,000), stating on X(Twitter) “Today is a good day. This is the beginning of the new phase”. This has had a positive impact on the NFT Art volume overall and also greatly impacted the floor price of some collections.
Notable artworks bought by Flamingo DAO:
- Elevated Deconstructions by luxpris #112: 16 ETH
- Gazers by Matt Kane #548: 12.89ETH