thecoinrepublic.com
- Blur dethroned the market leader on the back of its airdrop
- Blur has experienced a 361% increase in Ethereum NFT transaction volume
- OpenSea opened up over 106,000 distinct wallets over the past week compared to 66,000 by Blur
As the drums of new NFT hype are banging, BLUR, a relative newcomer to the NFT market, has surpassed OpenSea in terms of weekly trading volume thanks to its zero-fee business strategy.
According to information provided on DappRadar, BLUR’s weekly trading volume increased by about 436% to $515.37 million, while Opesea dropped to second position with a $322.86M trading volume, up by 238% from the previous week.
Blur dethroned the marketplace leader on the back of its airdrop. According to reports, the airdrop fueled a “incentive flywheel” that produced “real network effects.”
Blur sets record in NFT sector
With their record-breaking sales, Blur has been generating news in the NFT market, upsetting investor sentiments. Blur had a staggering 361% increase in Ethereum NFT transaction volume over the past seven days, totaling $460 million. In a comparison, OpenSea experienced a around 12% increase in trade volume, bringing it to $107 million during the same time period.
Ethereum NFT trade volume has increased by 155% week over week. Following Blur’s airdrop of its BLUR governance token to NFT traders who earned awards on the platform and through other exchanges prior to Blur’s launch last autumn, there has been an increase in trading activity.
Importantly, the rise in trading activity on BLUR was anticipated given that the company recently unveiled a highly anticipated airdrop of its $BLUR tokens in addition to a new royalties scheme for authors. By requesting that OpenSea be blocked to permit full royalties, BLUR has declared war on OpenSea.
It doesn’t seem like traders just selling off their BLUR tokens and buying and holding high-value NFTs is what’s causing the spike in trading volume at Blur. Conversely, whales with substantial NFT holdings appear to be flipping NFTs more frequently than before in an effort to increase the likelihood that token reward allocations in the future will increase.
What lies ahead for BLUR token?
Due to OpenSea’s decision to disincentivize royalties for all platforms, BLUR’s value has remained very unstable despite the recent spike in trade volume and the platform’s overall growth.
Blur notably mentions that traders who “bid on top collections closer to the floor gain higher rewards” when announcing its next “Season 2” token airdrop. Put differently, traders who place a bid for a well-liked project close to the floor price—that is, the least expensive NFT for that project—will maximise their potential rewards. As a result, they are both doing bulk purchases and sales.
The RSI-14 and Stochastic RSI are currently trading close to the beginning of a positive zone, indicating that the BLUR coin may soon start a gradual climb. An increase in momentum below the 23.6% Fib level could open the door to EMA-100 at $1.16, therefore the next 24 hours are critical for confirming an uptrend in the Blur price chart. Due to the enormous success of the platform, a surge in long holdings and trading volume can be seen from this price level, with a target of $1.5 as a result.
Over 106,000 distinct wallets were served by OpenSea over the course of the past week compared to 66,000 by Blur. Nonetheless, Blur has jumped ahead in terms of transactions, and the gap in trade volume is growing.
The deluge of NFT flipping and rewards “farming” on Blur muddles the market data, much like more extreme cases of wash trading, and the sharp increase in trading volume over the previous week doesn’t indicate that the NFT market is expanding and onboarding a large number of new collectors. The majority of the trading is between whales.