The popularity and relevance of non-fungible tokens have grown massively this year. The exploding trading volume of NFTs is set to reach over $175 million.
The prediction was made after Invezz concluded the analysis of the potentials of the NFT market. The increasing demand and awareness of non-fungible tokens reflect in its trading volume that went from $11.5 million in January to over $33.8 million in February. This huge growth has more than doubled in the last month reaching over $86 million.
GoogleTrends as well also reported a rapid increase in the number of inquiries made about NFTs. The popularity of the term grew from 0 in the last quarter of 2020 to 100 in March 2021.
The obvious growth trends of NFTs are what influenced the analysis made by Invezz. The analysts believe that the trading volume in NFTs will rise to $125.9 million in July then to an all-time high of $175.2 million in October. In an equal vein, the market cap of NFTs is expected to go above the 2020 cap of $338 million to over $470 million this year.
The Potential in the NFT Market
The marketplaces where NFTs are sold have witnessed a massive boom in March. Christie’s auction house made a remarkable sale of an NFT collection by Beeple for a whopping $69 million.
Jason Derrick, the lead editor of Invezz is optimistic about the long-term potential of the NFT market. Derrick said that the price correction in the trading volume in NFTs that slightly dropped this month won’t deter it from hitting the October prediction. Coinranking data reveals that the trading volume of NFTs went down to $68 million in April.
Despite the current decline in the volume of the innovation, more NFT projects are set to be launched. These projects will include blockchain-based cards from major baseball leagues as well.
