The NFT ecosystem is trying to bounce back in a bear market climate

Supporting the uptrend, the number of NFT holders has increased by 32.24% over the past three months, as evidenced by data from NFTGo.

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Over the past couple of years, non-fungible tokens (NFTs) have given the crypto ecosystem the boost it needed to catch mainstream attention, thanks to the involvement of artists and of prominent celebrities. However, despite the huge losses suffered by NFT investors as a result of the ongoing 10-month bear market, the ecosystem has shown lasting signs of a comeback over the past two weeks.

Since September 12, the performance of prime NFT collections has seen steady growth, gradually recovering to the 10,000 ether (ETH) lost in mid-August 2022, according to NFTGo data.

Top notch NFT collection performance. Source: NFTGo

On September 20, the market capitalization, which is derived from the floor price and the trading price of NFTs, climbed nearly 16.5% to around 11.25 million ETH.

NFT Collections Market Cap. Source: NFTGo

Reciprocating ETH's market cap surpassing the 11 million mark for the first time in three months, the number of NFT holders increased by 32.24 % over the same period as shown above.

Ethereum Name Service (ENS) currently contributes the highest volume at 9.25%, followed by popular NFT collections such as Bored Ape Yacht Club and Otherdeed.

NFT Market Sentiment. Source: NFTGo

However, current market sentiment – ​​calculated based on volatility, trading volume, social media and Google trends – remains cold as investors trying to get their...