The NFT market has experienced a significant decline in trading volumes, reaching its lowest point since October 2023. This downturn has affected major ecosystems like Ethereum, Bitcoin and Solana, with top NFT projects like BAYC and CryptoPunks feeling the impact. Despite the global cryptocurrency market surging to new highs, with Bitcoin and Ethereum reaching new peaks, the NFT sector is experiencing a slump.

The decline in NFT trading volumes is evident across major ecosystems, with Ethereum, Bitcoin and Solana witnessing substantial drops in activity. Ordinals, the initial version of nonfungible tokens minted on the Bitcoin network, have also seen a significant decline in sales. According to NFT analyst @waleswoosh X, leading NFT projects across various chains have seen significant value decreases over the past 30 days.Top NFT projects like Bored Ape Yacht Club (BAYC) and CryptoPunks have experienced a sharp decline in value. BAYC's trading has hit its lowest point since August 2021, with a drop of $1,927.58. Other projects like Pudgy Penguins and Nodemonkes have fallen by $1,457.31 and $8,794.06, respectively. Bitcoin Puppets saw a significant reduction of $11,942.25, and MadLads and SMB also reported declines of $2,986.08 and $1,989.64, respectively.

The monthly Ordinals sales have plummeted by 70% to $193 million, marking a significant decline from December, which recorded the highest sales in Ordinals history at $868 million. The lower trading volume on the Ethereum blockchain has compounded the drop in NFT floor prices. High-profile collections like BAYC and CryptoPunks have faced a downturn, with daily sales varying from 8 to 67 NFTs each day since early May. The collection's floor price has steadily declined, with BAYC's floor price on OpenSea plummeting to its lowest since August 2021, down by 90%, hitting 11.747 ETH ($45290) on May 28. Despite the overall crypto market boom, the NFT sector's downturn highlights the complex dynamics at play, where surging cryptocurrency prices do not necessarily shift to solid NFT performance. This slump in the NFT market serves as a reminder that the cryptocurrency and NFT markets are complex and unpredictable, and that investors should exercise caution and do their due diligence before making any investment decisions.