While NFTs are far from their former enthusiasm, interest in NFT collections based on the Bitcoin-based Ordinals protocol has resurfaced after weeks of stagnation. While the volume in the Ethereum NFT market fell, the increased activity in the Bitcoin NFT market attracted attention. As reported by data analytics platform Dune Analytics, new inscriptions called ‘inscription’ are rising in the relatively small but rapidly growing Bitcoin NFT market.
Ordinal NFTs were created by making available Bitcoin-only digital artifacts, called inscriptions, on Bitcoin’s mainnet. In January, Bitcoin developer and software engineer Casey Rodarmor released the Ordinals protocol, which allows NFT creation on the Bitcoin network. The NFTs that were created were called ‘inscription’. More than 1.7 million ‘inscriptions’ have been minted so far, while miners have been paid over $5 million.
The volume in the Ethereum NFT market is declining
It seems that the volume in the Ethereum NFT market is decreasing while the trading activity in Bitcoin Ordinals is increasing. It actually looks like it’s about to crash, according to Dune Analytics. Token incentives against trading volume on Blur, an Ethereum-based decentralized NFT marketplace, helped bolster the strong start of this year for the Ethereum NFT market. A large number of traders are leaving Blur as the May 1 deadline for the token request approaches. The trading volume of the market fell by 90% from its high on February 22 to 6,509 Ether yesterday. Meanwhile, OpenSea reported that it has achieved sales of approximately 3,000 Ether.
The Ethereum NFT market has also been affected by a number of major companies that have curtailed or abandoned their NFT plans. The most notable change is that Meta has abandoned its efforts to integrate Instagram with NFTs. Meanwhile, with the launch of a new category of Bitcoin NFT this month, the excitement around the emerging competition is mounting. Since the beginning of the current year, the value of Bitcoin has increased by 60%, while Ether has increased by 48%. The NASDAQ index rose 16%. Meanwhile, it seems that the Ethereum NFT market is experiencing a slump in trading activity and traders are exiting the market with huge losses.