Ethereum Price Drop Slashes NFT Floor Prices by Up to 19%
Ethereum price drop has triggered significant declines across top NFT collections. After a 10% pullback from its $4,900 peak to around $4,400, Ethereum faced further downside risks toward its 200-EMA at $4,088. Blue-chip NFTs saw double-digit floor price drops: Pudgy Penguins fell 17.3% to 10.32 ETH, Bored Ape Yacht Club dropped 14.7% to 9.59 ETH, and Doodles slid 18.9% to 0.73 ETH. Moonbirds and Lil Pudgys also declined over 10%, while CryptoPunks showed resilience with only a 1.35% fall.
Despite falling floor prices, NFT trading volumes remained robust. Pudgy Penguins led with 2,112 ETH ($9.36 M), followed by Moonbirds (1,979 ETH) and CryptoPunks (1,879 ETH). Overall NFT market cap has retreated 5% from its August 13 peak of $9.3 billion to about $7.7 billion.
On-chain analysts predict Ethereum will test support at the 200-EMA near $4,088. A sustained break above $5,000 could rekindle bullish momentum. Meanwhile, memecoin Maxi Doge raised $1.55 M in its first month on Ethereum, offering 195% APY staking and positioning itself alongside Dogecoin (DOGE), Shiba Inu (SHIB), and Bonk (BONK).
Traders should monitor Ethereum’s support levels and NFT floor prices for potential entry points. A prolonged ETH recovery could stabilize blue-chip NFT valuations, while further downside may pressure market confidence.
Bearish
The Ethereum price drop directly weighed on blue-chip NFT valuations, triggering double-digit floor price declines and a 5% contraction in overall NFT market cap. Historically, ETH corrections have led traders to pull liquidity from riskier assets like NFTs. Unless ETH holds its 200-EMA support, short-term sentiment remains bearish. Long term, a break above $5,000 could restore confidence, but for now, reduced NFT demand and downward pressure on ETH signal a bearish outlook.