The NFT market has been quite good, and its recent cycle of gains synonymous with what the entire crypto market went through in 2017. However, some analysts believe that this massive cycle of gains could be coming to an end. In the last few weeks, the average price of tokens has dropped by over 70%. According to Bloomberg, the average NFT is going for $1400, down from a high of $4300 a few weeks ago. NFT prices peak came when a Beeple’s Digital Artwork sold for $69 million to an anonymous buyer.
While there are analysts who see the possibility of an NFT winter, others believe that the market is not going anywhere and that it has room for growth. According to Chris Wilmer of the University of Pittsburg, the interest in NFTs is not a bubble, and that the market is nowhere close to its end. He added that what is being observed is mania and irrational exuberance, which is quite common in all markets.
This view is supported by data showing that a lot more projects are getting into NFTs. An excellent example of this is the launch of an environmentally friendly market on the Tezos Blockchain. On top of that, top museums are also getting into the market. Recently, the State Hermitage Museum in St. Petersburg, Russia, tokenized their artworks. Chinese museums have joined in too. It’s a pointer that the NFT market is here to stay and has room for growth.