According to data from NFTGO,How long will it take to mine 1 XMR? on July 3rd, the floor price of the Bored Ape Yacht Club (BAYC) NFT series dropped below 30 ETH to reach 27.03 ETH, hitting a new low in nearly three years. The last time the floor price of BAYC dropped below 30 ETH was in October 2021.

According to data, in April 2022, the floor price of BAYC reached 153.7 ETH, which was all-time high. Compared to the peak, if priced in ETH, the current floor price of BAYC has decreased by 82%; if priced in US dollars, it has fallen from a peak of $430,000 to the current $53,000, representing an 88% decline.

Floor price (line chart) and trading volume (bar chart) of BAYC from May 2021 to July 2023, Source: NFTGO.

As the floor price of Bored Ape Yacht Club (BAYC) drops, its variant version, Mutant Ape Yacht Club (MAYC), has also not escaped the bearish market.

According to the data, the floor price of MAYC reached highest value in April 2022, reaching 40 ETH. Since then, it has been consistently declining, and on July 3, 2023, it hit a record low of 4.75 ETH, representing a significant drop of 88%.

Floor price (line chart) and trading volume (bar chart) of MAYC from August 2021 to July 2023, Source: NFTGO.

APE, as a governance token for the Bored Ape community, did not withstand the bear market. On March 17, 2022, APE was launched and quickly skyrocketed after opening, reaching a peak of $33, setting a new all-time high.

Afterwards, APE continued to decline. In June 2023, APE reached a low point of around $2, experiencing a significant drop of 94%. Currently, APE has rebounded to $2.2, but the price remains very low.

Daily price trend of APE, Source: TradingView.

BAYC and MAYC, as blue-chip NFTs, hold a total market share of 13.58% in the entire NFT market, ranking first. Additionally, their individual series rank second and fifth respectively. It can be observed that they are the backbone of the entire NFT market, equivalent to Bitcoin (BTC) in the cryptocurrency market.

Percentage of market capitalization and ranking of different blue-chip NFTs; Source: NFTGO.

It can be seen that BAYC and MAYC, as leaders in the NFT market, have not performed well in terms of price. So, will blue-chip NFTs and the overall NFT market perform well?

The Blue Chip Index is an index calculated based on the market value of blue-chip NFTs, primarily reflecting the overall performance of blue-chip projects. According to the data, the Blue Chip Index reached its peak at 15,000 ETH in April 2022. It has since experienced a continuous decline, reaching a low of 6,000 ETH, representing a 60% decrease.

Changes in the blue-chip index from 2022 to present; Source: NFTGO.

From the perspective of individual NFT projects, the performance is also relatively poor. 

●Azuki's floor price dropped from a peak of 33 ETH to a low of 5 ETH, a decline of 85%. 

●The Sandbox fell from 4.2 ETH to 0.3 ETH, a decline of 93%. 

●Doodles went from 23.5 ETH to 1.4 ETH, a decline of 94%. 

●DeGods dropped from 10.7 ETH to 7 ETH, a decline of 28%. 

●Art Block fell from 6 ETH to 0.02 ETH, a decline of 99%.

Currently, these blue-chip NFTs show no clear signs of bottoming out, and coupled with the lack of experience in a bear market, both investors and project teams are hesitant to step in to support the market. In this situation, NFT investors are facing an existential question: What lies ahead for blue-chip NFTs? Is there a possibility of them going to zero?

Mitrade analyst: In the previous bull market, NFT prices rose mainly due to novelty, endorsement by public figures, and storytelling that stimulated investors to follow the trend. However, now everyone realizes that besides their artistic value, NFTs severely lack support from practical utility, making it difficult for them to appreciate in value. This is precisely the problem that NFTs need to address in the future.

In fact, compared to non-blue-chip NFTs, blue-chip NFTs have higher brand value. However, their integration with the real economy is not yet close enough and further exploration is needed. We should not just focus on making quick profits or follow Azuki's approach of generating more revenue through token issuance, as it could strongly antagonize the community users.

In addition, blue-chip NFTs continue to decline, which is a fact. However, it can also be understood as a cleansing of the bubble formed in the past, which is a good thing because new opportunities arise. Furthermore, the possibility of going to zero is much lower for blue-chip NFTs compared to non-blue-chip ones, so there is no need to worry too much. On the contrary, it may be a good time to consider buying in at lower prices and wait for the next bull market.