Bitcoin Ordinals NFT trading volume tanks 98% since May: DappRadar
DappRadar has pointed to an “alarming plunge” in Bitcoin Ordinals nonfungible token user activity, with trading volumes tanking around a whopping 98% since May.
In an Aug. 17 report, DappRadar highlighted its data showing that the total Bitcoin Ordinals sales volume had decreased from peak levels of $452 million in May to roughly $3 million as of Aug. 14.
In line with that drop, the number of transactions also declined by around 97% to 20,571 within that same time-frame.
DappRadar described it as a grim scenario for the Ordinals market, but did also emphasize that more time is required to determine whether this is a “temporary setback” or something that represents a “systemic problem of Bitcoin-based NFTs.”
“This steep decline in both sales volume and count within such a short period is alarming for Bitcoin Ordinals. The diminishing sales count underscores the waning enthusiasm or perhaps confidence in Bitcoin NFTs,” the report noted, adding that:
Q2 saw a significant decline in the #NFT market, both in terms of trading volume and active wallets. One of the biggest victims was #Bitcoin Ordinals, with sales down 97% since May. Is this the end of Bitcoin NFTs? DappRadar exploreshttps://t.co/v0ouv9uwVJ
The decline comes after a hype-filled second quarter for Bitcoin Ordinals, which saw trading volumes and user activity skyrocket compared to Q1.
DappRadar went on to suggest that a key issue around the sustainability of Ordinals is that the Bitcoin community has a divided outlook on whether NFTs should be on the network or not — something which isn’t an issue for Ethereum and other blockchains.
Related: Bitcoin Ordinals team launches nonprofit to grow protocol development
“There are voices within the community that view
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