NFT and cryptocurrency are related in one way or another. When NFT market originated, it was dependent on cryptocurrency. But as time passed and with its own development, it became more and more distant. Even as crypto went down, the NFT sphere flourished. In January, for example, OpenSea registered record sales, even though the cryptocurrency was having bad days. But opinions on the correlation are divided. Some say that when there is growth in one of these areas, the other is in decline. Others draw a parallel: when a cryptocurrency goes down, the NFT market goes down and vice versa.
In February, analysts at Coin Metrics looked at the relationship between the ETH exchange rate and OpenSea sales figures in their report. The purpose of the study was to find out whether the growth of the Ether exchange rate affects the decline of the NFT market. According to their data, there was no conflicting relationship between ETH and the non-interchangeable token market. From this we can conclude that ETH has little or no effect on the NFT market. DappRadar came to the same conclusion in its research.
Some prominent traders believe that cryptocurrency does affect the NFT market. In their opinion, the fall in the rate of crypto pushes users looking for profits to move into the area of NFT.
There is also another point of view. The fall of the currency affects the reduction of transactions in the NFT market, investments and the number of “players”. When there is a decline in one of the discussed markets, the number of new users from a related industry sharply decreases. To this we can also add newcomers who are just getting a closer look at the field.
The world of NFT is quite young and generates quite controversial reasoning, because there are almost no professional studies of the relationship between cryptocurrency and NFT. But it happens when this or that sphere is just developing. NFT clearly has prospects, regardless of what impact cryptocurrency has on it.