OpenSea, a well-known NFT market, is seeing a significant decrease in trade amounts, about the same as in 2021. This means that things are moving more slowly on Ethereum. People used to say that OpenSea was the best place to buy and sell NFTs, but now that Magic Eden and Blur are more well-known, OpenSea is having trouble keeping people interested.
OpenSea’s NFT trades have dropped by 33% in the last month, showing that Token Terminal data. They are now only worth $89 million. At the same time, the number of buyers who use it every week has gone down to about 21,000.
OpenSea Struggles Amidst Competitors’ Rise
Because of this downturn, OpenSea’s trade indicators are back to where they were in 2021 when they were very low. There were only about 73,000 daily users in April, the fewest since August of the previous year. Over 500,000 people used OpenSea every day when it was at its peak. This shows that its market dominance has been challenged lately.
There has been an increase in trade in all NFTs, but OpenSea finds it hard to keep up as competitors like Blur and Magic Eden gain more users. NFT market place has also seen a drop in sales. Only 134,197 NFTs were bought and sold in April. This is the lowest number since June 2021 and represents a significant decrease from March, when over 2.5 million NFTs were bought and sold.
The number of trades has also decreased; for the first time this year, they were worth less than $100 million. In its best month, when monthly sales were close to $5 billion, it did a lot better than this. NFT market place charges high fees, but this drop has significantly impacted their income. This costs the business funds, especially since copyright fees were at an all-time low in April.
Since Blur and Magic Eden came out, NFT market place has been under more pressure. It is now in third place in the market but only has 9.5% of all NFT trading traffic. Blur has over 67% of the market right now, and Magic Eden is very close behind with over 14%.
NFT market place CEO Devin Finzer said the company might be sold because of these issues. He knows that the platform is struggling to keep up with how quickly the NFT market is changing.
