NFT drops 2024: 98% are “dead” and only 0.2% have returned profits to investors

An analysis of the NFT Drops 2024 market has revealed some harsh truths: 98% are “dead” and only 0.2% have returned profits to investors. These and other data describe the annual performance of the Non-Fungible Token sector. 

NFT drops 2024: the hard truths about market development for this current year

According to the report by NFTEvening “State of 2024 NFT drops”, the Non-Fungible Token market must face some harsh truths.

Created in collaboration with the agency Storible, the report analyzed the performance of 29,079 NFT drops of 2024, basing on data from Dune Analytics and OpenSea and using the period January-August of this year. 

“The #NFT market in 2024: boom in collections, lower participation, falling prices. We analyzed 29,079 new #NFTdrops to find out what is really happening”

What has emerged is that 98% of the NFT drops 2024 are dead and only 0.2% return profits to investors.

Other key information states that 64% of the 2024 NFT drops have less than 10 mints. Also in terms of trades, it seems that 98% of this year’s NFT drops record less than 10 trades in the first week. 

The price tends to decrease by at least 50% within the first three days for 98% of the 2024 NFT drops, while for 84% the all-time high price (or ATH) is equal to the mint price. 

NFT drops 2024: the analysis of this year’s market beyond the numbers

The numbers recorded in the report are alarming for the development of the NFT market. Specifically, it seems that this market is trying to maintain the momentum it previously had with an explosion of new collections, but there is low participation and strong price drops

In fact, considering that from January to August 2024 an average of 3,635 NFT collections have been created per month, there is still strong involvement from the creators and their projects. 

Unfortunately, however, the report defines this enormous number of collections as an indicator of an oversaturated market. The supply of NFT collections has grown well beyond demand. 

In fact, it is easy to reach the failure of many projects even within the same year, justifying the figure of 98% of NFT drops 2024 that do not survive. 

On the contrary, observing everything from the demand side, it is alarming that only 0.2% of all NFT drops 2024 have generated profits for investors. Not only that, among the NFTs still actively traded (NFT “alive”), only 11.9% have proven to be profitable. 

This means that NFT investors must become increasingly selective and cautious, in order to succeed in the mission of purchasing those NFTs capable of increasing their value. 

Some record sales 

While discussing new NFT drops of this current year, it is important to highlight that in the market there are what are known as record sales. 

In fact, last October, a famous CryptoPunk, number #1563, was sold for 24,000 ETH, the equivalent at that time of 56.3 million dollars. 

That week was truly special because it also recorded other important NFT sales that boosted the weekly volumes, nearing 85 million dollars. It refers to the week between September 30 and October 6.

Even at the beginning of September 2024, there was another record NFT sale, with CryptoPunk #6915 sold for 620 ETH, equivalent at that time to 1.48 million dollars.