The non-fungible token (NFT) market is showing signs of a strong recovery as December kicks off. Weekly sales volume hit $187 million in the first week, reflecting continued growth since October. Here’s a closer look at the driving forces behind this resurgence.

Ethereum Leads the Pack with $92 Million in Sales

Ethereum solidified its dominance as the top blockchain for NFTs, recording $92 million in sales, a 44.69% jump from the previous week. Two collections, Pudgy Penguins and CryptoPunks, contributed significantly to this surge.

Pudgy Penguins saw a 346% increase in sales, reaching $25 million for the week. Its floor price rose from 13 ETH ($52,000) on Nov. 30 to 20.9 ETH ($83,000) by Dec. 8.
CryptoPunks recorded $16.5 million in weekly sales. Its floor price climbed briefly to 44 ETH ($176,000) on Dec. 4 before stabilizing at 40 ETH ($160,000) on Dec. 8.

Other Blockchains Show Steady Growth

While Ethereum led the market, other blockchains also played key roles in the growing NFT economy. Bitcoin NFTs ranked second with $43.8 million in sales. Platforms like Solana, Immutable, Mythos Chain, Polygon, Cardano, and Flow collectively brought in $47 million for the week.

NFT sales hit a low in September, marking the weakest monthly performance since 2021. However, the market bounced back in October, followed by a 57% month-on-month growth in November, with total sales surpassing $562 million.

Ethereum’s Price Surge Adds Momentum

Ethereum’s strong NFT performance coincided with a major price rally. ETH broke the $4,000 mark on Dec. 6, reaching $4,067. Analysts are optimistic, with some forecasting ETH could climb to as high as $15,000, echoing its meteoric rise in 2016-2017.

With key collections driving sales and blockchain platforms innovating, the NFT market appears poised for sustained growth as December unfolds. The rising interest in digital collectibles, coupled with Ethereum’s performance, could set the stage for an even more vibrant NFT ecosystem in 2024.