NFT sales hit second-highest level of 2024 in December, data shows

Ending the year on a high note, December non-fungible token sales rose to $877 million, making it the second-best month of 2024.

Blockchain-based digital collectibles had a strong December with sales of $877 million, making it the second-best month of 2024. This surge caps off a wild year for the NFT market, which saw a sharp rebound in the last quarter.

CryptoSlam data shows that 2024 NFT sales totaled $8.83 billion, exceeding 2023 by over $100 million. While 1.1% growth may not seem like much, it shows that the market is recovering after months of falling sales.

NFT sales in 2024 | Source: CryptoSlam

According to the data, December stood out thanks to Ethereum-based collections such as Pudgy Penguins, Azuki and Bored Ape Yacht Club. According to NFT Price Floor data, Ethereum NFTs led the month with $488.4 million of total sales. Pudgy Penguins took the lead with more than $285 million in transaction volume, while other collections like Lil Pudgys and Azuki added another $222 million.

Nicolás Lallement, co-founder of NFT Price Floor, commented on crypto.news that the NFT market “has a strong Q1 2024 for both Ordinals (Bitcoin) and Solana NFT collections,” and also noted that “Ethereum repricing He added that it was also the case. based collections were long overdue.”

“We have the existing ‘token attached to NFTs’ commodity as the driver for this repricing. Projects like Pudgy Penguins, Doodles, and Azuki have either launched or announced plans for meme/L2 gov tokens; “This has led to significant interest and repricing in blue chip NFTs.”

Nicolas Lallement

Lallement points out that repricing is “not just driven by airdrops,” as many NFT holders are “shifting their profits from speculative mecoin trading to long-term persuasion plays, opting for quality collectibles.” He said that “this trend is particularly notable in Ethereum, given the fact that it is home to the most consolidated collections of blue chips.”

“Looking ahead to 2025, I foresee a trickle-down effect that will benefit the entire NFT ecosystem. “It will likely start with collections tied to airdrops, then expand to Ethereum-based blue-chip PFP collections, generative art (like Art Blocks), and eventually cover Solana and Bitcoin.”

Nicolas Lallement

The NFT market really picked up in Q4. After a tough third quarter with just $1.12 billion in sales, it rose 96% to $2.2 billion in Q4. November’s $562 million in sales helped prepare for the near-billion-dollar show in December.

Industry experts attribute the rise to increased confidence in the crypto market. For example, DappRadar researchers noted that the increase in token prices likely increased optimism and attracted new buyers to the space. Sara Gherghelas, blockchain analyst at DappRadar, believes this divergence is “combined with renewed trading activity in high-value collections like those from Yuga Labs and rising token prices.”

“Improving liquidity and increased interest in premium collectibles is increasing confidence among collectors and investors who now view NFTs not just as speculative assets but also as cultural commodities,” Sara Gherghelas wrote in a report.

We’re still far from the top

Despite the year-end rally, 2024’s total NFT sales remain well below the market’s peak years. In 2021, NFTs generated $15.7 billion in sales, nearly double this year’s figures. The next year was even more impressive, with sales of $23.7 billion.

Lallement believes NFTs occupy a “unique position” as both high-risk speculative assets and status symbols. He explained that historically, in the later stages of bull markets, participants who see their wealth increasing tend to shift their focus from speculative investments to status assets such as digital art and collectibles.

“This behavior stems from the desire to increase wealth and gain recognition for their peers in their community. For NFTs to return to their 2021-2022 highs, it is likely that BTC will need to reach a significant price level (e.g. $150k) and ETH will need to reach a new “It will need to set an all-time high (several times the previous one, maybe around $10,000).”

Nicolas Lallement

Once these milestones are met, Lallement envisions a “rotation of capital from fungible tokens to select NFTs.” He believes this could lead to another wave of inflated valuations as market participants begin to reallocate their earnings to high-value collectibles. “Strong token performance can revive investor confidence, create a wealth effect, and reignite the speculative and cultural appeal of NFTs as both investments and status artifacts,” he concluded, adding that this dynamic will likely continue and fuel the rise of the NFT market. It disrupts nature as well as broader crypto trends.

NFT activity in Q4 2024 | Source: Tiexo

According to data from NFT analytics platform Tiexo, Blur and OpenSea were the top markets in Q4, accounting for almost 70% of all NFT sales. Blur was the leader with sales of over $885 million in this quarter, while OpenSea followed with $607 million. Magic Eden, which focuses on Solana NFTs, recorded sales of $365 million.

The diversity of activity in the market shows that the NFT ecosystem is still maturing. As a result, no single platform or blockchain can completely dominate. While Ethereum still leads in all-time NFT sales, Solana and Bitcoin are slowly gaining that share.

The December rally has us wondering what’s next for NFTs. Will this momentum continue in 2025 or will it stall? We will probably find out soon, as analysts predict that Bitcoin’s rise will peak in mid-2025, which could also impact the NFT market.