04 May

In the majority of cryptocurrency-related areas, Ethereum [ETH] has been the leading player. On one front, nevertheless, it appears that the Blast network is now in the driver's seat.

NFTs at maximum Blast

According to recent data, Blast NFT collections such as PAC REKT, Blastopians, and Plutocrats have collectively generated more volume over the last 24 hours than the entire Ethereum NFT market on all exchanges combined.

Now, while Blast did better than Ethereum in terms of NFT volume, wash trading accounts for a large amount of this traffic. To put things in perspective, wash trading in NFTs artificially boosts trading volume by deceiving investors, fabricating phony popularity, and buying and selling between controlled wallets. It erodes genuine liquidity and distorts pricing, undermining the NFT market.

Although wash trading may account for a significant portion of Blast's NFT volume, the network's health is a cause for concern given the diminishing interest in Ethereum NFTs.

Examining more closely

NFT collections on other networks, such Mythos and Bitcoin, performed better than Ethereum NFTs. Popular Ethereum NFT collections like BAYC and Crypto Punks, according to CryptoSlam data, were unable to place among the top 5 most sold NFTs over the previous month. While the number of BAYC buyers declined by 2.78%, the number of Crypto Punk buyers dropped by an alarming 20%.

Holders of Ethereum bleed

In terms of ETH's price, it had recovered above $3,000 at the time of publication thanks to Bitcoin's upswing. Furthermore, ETH's network growth was getting faster.

An increase in network size indicates that more addresses are becoming interested in ETH. Velocity increased as well, suggesting a spike in Ethereum network transaction activity.

Growing velocity and increasing demand from new addresses may help ETH see green and return the altcoin to the levels it was trading at before the most recent market slump.

Ethereum's future price movement, however, will also be significantly influenced by the amount of the addresses expressing interest in ETH.

For example, Santiment's data showed that, as of the time of publication, addresses holding 100–10,000 ETH were decreasing. The future direction of ETH's price may be significantly influenced by significant purchases made by big addresses.

May 2024, Cryptoniteuae

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