Thread by @EC_NFTea

🧵 Market Update 🧵

WARNING! It’s not good news. @DuneAnalytics shows us that @opensea Daily volume has dipped to a new all time low. Previously, we’d been hovering between the $15 - $20 million range, but now we’re below the $8 million range.

@flipsfinance 7 day statistics clearly shows that the top 10 projects are 'bleeding'. There is a lot of 'blood' on the streets & floor prices are coming down even further. We're seeing more downside for NFTs & many factors indicate that it's getting worse!

Once again, @GoogleTrends proves that nothing has changed in the last week. We are still consolidating & the general trajectory is slightly trending downwards. We are in a period of dis-interest in NFTs & the overall sentiment feels very bearish.

All the negative metrics are supported by @DappRadar 7 day @opensea statistics. The historical data clearly shows us that users, volume & transactions are trending slightly downwards. There is no denying that the current state of the NFTs is a shit show.

Why is this happening?

It's mainly because of inflation & interest rate hikes. The FED is hoping to dampen people’s willingness to spend money by implementing hikes. In addition, there are a plethora of other macroeconomic issues, as well as a recession.

80% of all US dollars in existence have been printed since January 2020, in attempts to save the economy. As the US government printed trillions of dollars in such a short amount of time, there is an increased amount of money in circulation.

Consequently, the prices of all asset classes 'skyrocketed’ parabolically in 2020-2021. So did the cost of living. This is the result of when a vast amount of money is printed quickly.

(United States food inflation / United States inflation rate)

With the current situation, people are forced into feeling very bearish. All risk-on & speculative assets are amongst the first to be liquidated as the majority of people attempt to cut their losses & exit markets to preserve capital, hence floor price dumps.

So what do we do?

Bear markets present rare opportunities to pick up long term value appreciating assets at cheaper prices. Investing in the recession & taking profits in the bull is a way to generate astronomical returns

I am looking specifically at crypto

It may seem counter intuitive, but in a recession is the safest opportunity to buy, if you know what to buy & when. The risk to reward ratio is lower than buying crypto coins in a bull run, as in a bull run you’re more likely to be buying closer to the top

Then, NFTs I'm keeping an eye on:

Current price vs ATH

@BoredApeYC 78.45 vs 180 ETH
MAYC 14.85 vs 50 ETH
@moonbirds 12.2 vs 45 ETH
@RTFKT Clone X 6.95 vs 30 ETH
@doodles 7.52 vs 25 ETH
@AzukiOfficial 6.79 vs 40 ETH
@croquetclubnft 5.25 vs 16.9 ETH

The most important thing is to have available liquidity so that you’re able to capitalize on what’s to come. If you’re short at present, seeking ways to bolster your income is necessary. You can have all the knowledge, but with out liquidity, it's useless.

If you don't have the capital to invest, then your priority should be to increase your earning capabilities. The best investment you can make is in yourself. Either look for ways to start a online, scalable & cash flow business, or take skill based courses.

If you're struggling for ideas or feel un-inspired, then check out @cbassg16 & @GadzhiIman on YouTube. They have tons of resources on how to earn money & navigate the current climate. Having multiple sources of income is step 1 in becoming financially free.

The NFT space is currently a mess, be sure to allocate your time wisely. I believe that NFTs will dominate the future, so learning now is key. However, time & capital may be better spent elsewhere at present. Keep grinding, it'll pay dividends in the future.

Please share this if you find it useful 🙏

The bear market can be felt throughout Twitter & Discord too. Engagement is very low, but only the real ones stick around when the going gets tough. We will recover, & everything will be okay.

Hang in there champ!