The Bored Ape NFT prices experienced a significant drop of 90% from their peak levels in 2021, going from 120 ETH to 10 ETH currently. This decline in value was part of a broader trend affecting the entire NFT market, as demand for Bored Apes Yacht Club (BAYC) NFTs waned over time. Despite initial hype and celebrity endorsements, the value of BAYC NFTs and other Ethereum-based NFT collections decreased due to decreased retail interest and the emergence of new collections on Bitcoin and Solana.
In May 2022, each Bored Ape NFT was worth $400,000 in Ether when Ether was trading at $3,000. However, as of the current date, the value of each Bored Ape NFT has dropped to just over $30,000. Data from CoinGecko indicates that the overall value of BAYC NFTs has stabilized around the $1 million mark in 2022, with ten individual wallets holding nearly 20% of this value. Additionally, Google search data suggests a decline in retail interest in Ethereum NFT collections, as investors are increasingly turning towards Solana and Bitcoin NFTs.
Despite the decline in NFT prices, BAYC NFTs still maintain their position as a leading NFT collection, with a market capitalization of $340 million as of Tuesday. The Bored Apes collection consists of 10,000 unique digital monkey cartoon figures on the Ethereum blockchain, with holders of BAYC NFTs receiving benefits like access to in-person events or a private online club. Additionally, owning a Bored Ape NFT serves as a status symbol to display wealth and social status online.
In 2021, BAYC NFTs experienced a rapid surge in popularity during the bullish cryptocurrency market, with several celebrities claiming to have bought the NFTs for over $300,000 each. For example, Justin Bieber reportedly purchased a “rare” Bored Ape NFT worth over $1.2 million. Google reports suggest that Moonpay may have gifted some Bored Apes to individuals and celebrities to boost investor confidence. However, the subsequent decline in NFT prices underscores the volatility and speculative nature of the NFT market, as investor interest shifts and new collections emerge on different blockchain platforms.
Overall, the rise and fall of BAYC NFT prices to August 2022 levels reflects the broader trends in the NFT market, as Ethereum-based collections face challenges from new competitors on platforms like Solana and Bitcoin. The declining interest in Ethereum NFTs and the shift towards alternative platforms highlight the evolving landscape of the NFT market, where investors seek opportunities in different ecosystems and collections. Despite the price fluctuations, BAYC NFTs continue to be a prominent collection with a significant market capitalization and a dedicated community of holders.
