Bitcoin Ordinals, a popular non-fungible token (NFT) project, has experienced a significant decline in sales volume, dropping over 97% since its peak in May 2023, according to DappRadar. This sharp decline has raised concerns about the sustainability of Bitcoin Ordinals in the NFT sector.
Sales volume for Bitcoin Ordinals reached a record high of $452 million in May 2023. However, it has since plummeted to $3 million in mid-August, marking a staggering 97% drop within just three months. The decline in sales volume has been consistent, with June seeing a 76.5% decrease to $100 million and July witnessing a further 66.9% plunge to $35 million. August data shows a 91.4% drop in sales to $3 million.
Not only has sales volume been affected, but the number of transactions has also decreased significantly. In August, transactions dropped by 88.1% to 20,571, compared to 832,648 three months ago. This decline in transactions and sales volume raises questions about the future of Bitcoin Ordinals in the NFT market.
While the overall NFT market has seen a downward trend, Bitcoin Ordinals appears to be the hardest hit compared to other blockchains like Ethereum and Polygon. These blockchains have been in the NFT market for a longer time and have a wider range of applications.
The decline in sales volume and transactions has led to speculations about the fate of Bitcoin Ordinals. Some community members believe that the initial hype surrounding the project was too big, leading to its downfall. However, others remain optimistic, stating that it is still early to declare Bitcoin Ordinals a failure. They argue that Bitcoin and Ethereum serve different purposes, with Bitcoin being better suited as a store of value while Ethereum drives the digital economy.
In July, Ethereum co-founder Vitalik Buterin praised Bitcoin Ordinals, highlighting its contribution to bringing back the “culture of actually doing things” on the Ethereum network. Despite the current challenges, there are still supporters who believe in the long-term potential of Bitcoin Ordinals.
As the NFT market continues to evolve, it remains to be seen how Bitcoin Ordinals will adapt and regain its momentum. The recent decline in sales volume and transactions raises important questions about its sustainability and future prospects in the ever-changing NFT landscape.