- NFT sales volume has dropped by 28% over the past week.
- Ethereum holds NFT dominance while Bitcoin-based NFTs fell sharply.
- A growing gap emerges between NFTs and the broader crypto market.
The NFT market is once again losing momentum despite an early 2026 hype, as activity continues to dry up. According to the latest data, there is a sharp decline in the number of buyers, sellers, and overall transactions in the non-fungible token space.
While this slowdown comes despite the broader crypto market’s resilience, it sparks questions about the sector’s potential future. This highlights a widening gap between NFTs and the rest of the digital asset space.
As traders and investors have apparently lost confidence in these assets, the fall seems to last longer. As liquidity dries up and enthusiasm fades, one significant question is whether the NFT market is cooling off or slipping into another major crash.
NFT Market Activity Dries Up
Over the past week, the NFT market has seen a significant downfall, with investors showing less interest in the assets. CryptoSlam NFT data shows the total sales declined nearly 28% to $62.58 million, down from $88.29 million the previous week.
The market participation also fell drastically, with the number of buyers and sellers plummeting by more than 75%. As the overall transaction has also dropped, the current situation possibly points to the investors’ waning interest and confidence in non-fungible assets.
Despite the broader fall, Ethereum-based NFTs exhibited resilience, while Bitcoin-based tokens saw a steep decline of over 65%. Even as overall activity slipped to multi-week lows, collections like CryptoPunks continued to lead in volume.
What is more concerning is the NFT market’s diverging path from the broader crypto market. While Bitcoin and other digital assets faced the highest volatility in 2025 Q4, extending into the first week of 2026, the second week saw a difference. As of now, the market has reclaimed its green zone, with BTC and ETH sitting above their critical support levels.
In contrast, the NFT market, which saw a remarkable resurgence at the beginning of 2026 after its tumultuous 2025, is now once again in the red zone. As reported by Times of Blockchain, the NFT market had a promising start, with its market cap and volume signalling sustained growth.
Ethereum NFTs Hold Top Spot
Despite the broader slump in the NFT market, Ethereum continued to lead in overall sales. As per records, Ethereum-based NFTs brought in around $26.8 million in volume over the past week.
Bitcoin stayed behind Ethereum in NFT sales, posting $10.43 million. This marks a sharp drop from the previous week’s $29.95 million.
Popular Ethereum collections like CryptoPunks are still at the top of the chart, suggesting that buyers are still interested in the asset. The asset recorded an impressive weekly sale of $3.59 million, up 33.58% from last week’s $2.69 million. The collection boasts a total of 31 transactions, with 21 buyers and 17 sellers.
Ethereum’s Ape.bond Bonds also secured a 52.9% rise in weekly sales volume, at $1.85 million. With 48 buyers and 19 sellers, the collection saw 77 transactions in total.
At the same time, Pudgy Penguins saw a notable decline in its sales volume over the past week. Securing only $2.15 million in sales, the asset marked an 8.8% drop from the previous week’s $2.39 million. It saw 134 transactions, involving 74 buyers and 81 sellers.
