98% of NFTs launched in 2024 not profitable, only 0.2% yield gains

A recent analysis has revealed that the non-fungible token (NFT) market struggled in 2024, with premature price drops and several failed projects.

Research by NFTevening and digital PR agency Storible examined more than 29,000 NFT collections published throughout the year, gathering data from OpenSea and Dune analytics.

NFT market profitability struggles

Called “State of NFT Crashes 2024,” the study found that a monthly average of 3,635 NFT collections were created in 2024 in what was considered an oversaturation of the market.

According to the report, 98% of NFT dips were not profitable and have not seen any trading activity since September. In addition, the prices of the tokens also fell by at least 50% in the first three days of their release.

The incredibly high percentage of NFT dips that saw less than ten trades in the first seven days of their launch is a concern because it could mean investors are less excited about upcoming projects.

Additionally, 84% of NFT dips in 2024 had an all-time high price (ATH) equal to their mint price, meaning they never gained any additional value.

According to NFTevening’s analysis, only a scant 0.2% of all non-fungible token collections generated profits for investors. Even among actively traded or “live” NFTs, only 11.9% have proven profitable, illustrating how projects are struggling to get a positive result.

Decline in excitement for new NFT projects

Flooding the market with a colossal number of projects has caused NFTs to struggle to stay relevant, directly affecting trade across the industry. This was illustrated by the significant drop in trading volume over the past six months.

Data from a Dune Analytics dashboard reveals that OpenSea, once one of the leading NFT markets, has witnessed a 76.32% drop in daily trading volume in its securities since the beginning of year Additionally, minting volumes have also been affected, with 64% of NFT drops having less than 10 mints.

The survey shows that NFT enthusiasts are still waiting

In January, both the NFT and the crypto market struggled to overcome the prevailing bearish sentiment. Almost ten months later, crypto investors are reaping the benefits, with Bitcoin reaching all-time highs and dragging several altcoins with it.

NFT traders, however, have lagged behind. With factors such as market oversaturation, scams and tight economic conditions, the situation could get worse before it gets better.

That said, a recent poll by the same publication showed that most NFT enthusiasts are ready to weather the storm. According to the study, more than 66% of NFT traders plan to hold their assets, believing they have undeniable long-term growth potential.

However, around 33% are considering exiting the market, and 72.3% indicate their intention to exit in 2026. Of this figure, 36.4% intend to exit in 2024 and 35.9% in 2025, with 27.7% undecided, possibly awaiting market conditions. improve before making a final decision.

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