BAYC July data report: In the cold winter, what kind of report card has the NFT No. 1 brand handed over?

Key Points

• The floor price fluctuates in the middle of the month, and the floor price at the end of the month is the same as the end of the previous month. The trading trend is affected by the trading of giant whales.
• BAYC's market cap contraction and trading volume decrease correlates strongly with total NFT market cap, but at the same time underscores its market leadership.
• Increase in total number of holders bodes well for BAYC to maintain its attractiveness as a long-term investment amid market consolidation.
• BAYC's borrowed ETH volume shows its strong market performance, and the different behaviors in the Yuga Labs ecosystem - MAYC holders seek liquidity and BAYC holders seek long-term value - highlight the unique community culture.
• Despite the surge in activity upon launch of HV-MTL Forge, the complexity of the game may hinder future player participation. Floor prices for LoTM are up, but user acquisition and transaction volume are down.
• Boredgentleman.eth believes that Crypto +NFTs+AI=Metaverse will bring the next market hotspot.

In this report, we explore data from multiple dimensions of the Yuga ecosystem, including Yuga Labs news and upcoming events, BAYC and ApeCoin data analysis, holder trends, top sales, lending and gaming economics .

For this report we feature @boredgentleman, holder of Bored Ape #2069 and long-time NFT trader. He will provide insider insight on a number of topics throughout the report. Let's start with the news section!

News and upcoming events

Fuck It Saturday: BAYC has announced that it will be celebrating MAYC's 2nd anniversary on August 26, 2023 in Miami, Florida. Tickets have been announced.

**10KTF Battle.town Season 2: **The second season of Battle.town went live on July 14th. This season introduced a slew of community-wide sieges as well as new features for more efficient gameplay. The platform now supports running on iOS and Android devices and includes a Loadout Optimizer for strategic planning.

Global Community Events: Yuga Labs is planning talks and community events around the world, starting with Tokyo. Published ApeFest Hong Kong ticket collection method: Free entry for BAYC and MAYC holders, refundable deposit required. Tickets will be provided on a first-come, first-served basis. Details of events in Korea and Singapore will be provided at a later date. The event will also offer virtual participation and host events hosted by the global community.

Made by Apes Platform: Yuga Labs, in partnership with SaaSy Labs, launched on July 25th a platform created by Apes that allows BAYC and MAYC holders to use the "Made by Apes Platform" in the Apes program that includes them by Apes” logo. The platform will maintain a directory of active licenses and projects. We caught up with @Boredgentleman and he said: "Made by Apes is a great platform for people not only to go and see how the IP is being used, but it also gives us the opportunity to showcase our personal projects that are going on, giving a lot of people the opportunity .”

CryptoPunks Archiving Book: Yuga Labs, in partnership with @zakgroup, will publish the first book dedicated to archiving CryptoPunks in Fall 2023. This book will capture the untold stories of collections from the community.

Data overview

| | | | | | | | --- | --- | --- | --- | --- | --- | | Floor Price| Floor Price (%) | Transaction Volume | Transaction Volume (%) | Number of Holders (%) | | Bored Ape Yacht Club | 29.06 | +1.97% | 29.8K | -78.93% | +0.92% | | Mutant Ape Yacht Club | 5.64 | +18.82% | 16.89K | -64.77% | +1.6% | | Otherdeed for Otherside | 0.611 | +1.66% | 1.57K | -40.58% | -1% | | Otherside Vessels | 0.1645 | +20.96% | 395.09 | -44.15% | -0.17% | | Otherdeed Expanded | 0.3537 | -15.79% | 970.18 | -38.74% | +1.16% | | Other Side Koda | 3.99 | +9.32% | 950.46 | -57.4% | +0.97% | | HV-MTL | 0.56 | +24.44% | 1.98K | -58.4% | -2.57% |

Floor price: BAYC floor price is stable & giant whale trading activities affect market dynamics

The floor price shows an 11.53% retracement to 29.49 ETH this month, and despite peaking at 35.28 ETH during this month, the floor price at the end of the month is consistent with the end of last month. Overall, the market has stabilized without major volatility.

Bored Ape Yacht Club's floor price and giant whale transactions, data source: NFTGo.io

The fluctuation of the floor price in the early part of this month was caused by the giant whales buying at the lower floor price and then selling at the peak on July 7. This trend has gradually turned into a slow decline in prices, prompting whales to buy more strategically. It is worth noting that Machi accounts for 80% of whale transactions, having a significant impact on the overall performance of the market.

Ordinary transactions and giant whale transactions of Bored Ape Yacht Club, data source: NFTGo.io

In fact, whale activity appears to have more of an impact on market dynamics than floor prices have on the average trader. A price surge sparked by whale trading on July 8 also spurred a smaller spike in ordinary buyers and sellers, showing a ripple effect on the wider market. Additionally, the increased activity of whales appears to have inspired a higher frequency of transactions by ordinary users. This shows a symbiotic relationship, that is, the trading mode of giant whales can arouse the excitement of the market and indirectly improve the overall trading activity. So while whales can drive significant market volatility, they also play a key role in activating regular buyers and sellers.

Market value and trading volume: BAYC market value shrinks and has a strong influence on the overall NFT market

Although BAYC's market capitalization continues to shrink, the significant 75% drop in trading volume in July points to a generally wait-and-see attitude by holders towards BAYC price movements, which we will analyze based on holder behavior. The market capitalization at the end of the month is the same as the October 2021 figure. However, the current community culture is significantly more cohesive and self-sustaining than before. We remain optimistic that Yuga Labs' continued growth will drive BAYC's future progress.

The total market capitalization and trading volume of Bored Ape Yacht Club, data source: NFTGo.io

Interestingly, BAYC's market capitalization and total NFT market capitalization show a strong correlation, underscoring BAYC's market leadership, which is not matched by other NFT series. This connection also means that trends in BAYC can be inferred from broader market conditions, providing valuable insight for strategic positioning.

The total market capitalization and trading volume of the NFT market, data source: NFTGo.io

Transactions and Liquidity: Transferring Data Over Selling & Buyers Over Sellers

From the perspective of liquidity, we observed that the number of NFT Transfer times significantly exceeds the number of buying and selling. In BAYC transactions, the number of buyers slightly outnumbered the number of sellers, and the total number of holders also saw a slight increase. This hints at a market consolidating, building momentum for possible future dynamics.

Despite the reduced market capitalization, Yuga Labs as a whole continues to attract a subset of investors and NFT enthusiasts. This endurance is a testament to BAYC's inherent attractiveness and resilience in volatile markets, highlighting BAYC's viability as a long-term investment.

HOLDERS: BAYC Remains Attractive, Attracting New Holders

The dominance of long-term holders, showing slow but steady growth, characterizes BAYC's holding pattern. In contrast, the number of NFTs held for less than 24 hours plummeted from 263 to 24 in a month. On the other hand, the number of BAYC held for a month increased by roughly 200. This corroborates our observation that BAYC bought at the monthly floor price is retained rather than being resold during price recovery.

Holders appear to be expecting further price appreciation. By the end of the month, 46% of BAYC had been held for more than a year, and only about 50 BAYC had re-entered the market. This trend shows that investors have strong confidence in BAYC and a strong willingness to hold BAYC for a long time, which further strengthens its value potential.

boredgentleman.eth is also one of the long term holders. Regarding his investing approach, he said: "Let me be clear, I'm more of a long-term trader than a day trader. What I'm looking for are projects that have really good ideas, that have been in the space for a while. Teams of time people who know how to communicate everything to the public in a way that generates hype. So yeah, I'll buy or mint a project and wait a few months to take a profit."

The total number of holders remained relatively stable, although investment addresses with more than 5 BAYC saw a slight decline. This suggests that these addresses, possibly arbitrageurs, may have sold some NFTs when the price rebounded. However, the surge in the number of holders with 1 BAYC to nearly 100 brought a vibrancy to the community.

HIGHEST SALE: High value BAYC fewer transactions, less liquid market emerges

This past month, BAYC #1734 recorded the highest sale price at 600 ETH. Notably, only four BAYCs sold for more than 100 ETH, in stark contrast to more than 10 BAYCs sold above this price threshold two months ago. It is worth noting that the holder 0x66666F bought BAYC at a price of more than 100 ETH for the second time, and the first time was at a price of 530 ETH on May 16.

The change highlights a market that is less liquid and less volatile. In other words, there are fewer high-value deals, suggesting that investors may be taking a more cautious or wait-and-see approach in the current market environment. This trend highlights the need to continuously monitor markets to assess changing investor behavior and market sentiment.

Lending status: MAYC holders seek liquidity & BAYC holders seek long-term value

Data from @paliatzis reveals interesting insights into the Yuga Labs ecosystem's lending protocol on Blend. Although BAYC does not dominate in terms of market share, it has shown a strong performance in terms of loan ETH volume, highlighting its strong influence in the market. In the Yuga Labs ecosystem, MAYC has more loans than BAYC, illustrating the different cultures in the same ecosystem.

MAYC holders appear to be more inclined to leverage their holdings for liquidity, while BAYC holders view their holdings as a long-term investment. This difference in behavioral patterns underscores the unique identity within the community, with MAYC holders focusing on immediate liquidity benefits and BAYC holders prioritizing long-term value appreciation.

Overall, according to @sealaunch, trading volumes for Yuga Labs collections on Blur dropped roughly 50% in July, but they still make up roughly 30% of the total market and serve as a key pillar of market liquidity. Trading volumes have declined, but in relatively stable proportions, suggesting that trading activity for these collections has been in line with broader market movements and has not been influenced by community behavior or sentiment.

Therefore, for holders, Yuga Labs' series is in line with the overall market trend, and BAYC itself has no significant disadvantages. This resilience in the face of market volatility underscores the strength of BAYC, reinforcing its position as a strong and reliable asset within the NFT space.

Apecoin: $APE price rebounded slightly, the number of holders continued to grow

Currently, the price of $APE is 2.35. Although prices have recovered from levels below 2 in early July, community confidence remains fragile. On July 14th, Apecoin's official Twitter account released the $APE 2023 Q1 report. However, data from 2022 dominates, and the absence of timely, fresh data has unfortunately sparked negative sentiment among community members. However, we still see continued growth in the number of token holders.

Game Economy and NFTs

On June 29, Yuga Labs launched HV-MTL Forge, a mix of casual world-building and pet games that culminates in a competitive dungeon crawler. Players can earn up to six upgrades for their HV, reaching Evo2 form.

HV-MTL Forge Release Stimulates Market & Game Complexity Factor

Overall, the release of HV-MTL Forge brought a temporary surge in market dynamics with considerable impact. This is evident in the significant increase in the trading volume of holders around the issuance, and the base price which has witnessed a 20.67% increase in the past month. However, we noticed that this effect seemed to fade over time.

Floor price and ordinary transactions of HV-MTL, data source: NFTGo.io

Boredgentleman.eth commented: "Forge is a fun game, albeit a bit challenging to play. The rewards are mostly in the form of decorations, and I'm not sure if they're available right now. So my strategy revolves around accumulating As much energy as possible to compete in 'The Riff'."

HV-MTL trading volume, liquidity and holders, data source: NFTGo.io

From this, we can infer that the inherent complexity of the game may raise the barrier to entry, possibly hindering the progress of subsequent players. This hypothesis is validated from a trading, liquidity and holder perspective. The reduction across the board in these data points suggests that the game may not be appealing to future players. This points to the need to consider incentive mechanisms to facilitate increased engagement and sustained impact.

Otherside Vessels: LoTM Price Up & User Acquisition & Volume Down

LoTM, another Yuga Labs game, underwent an update last month and held a live party. Despite a 20.51% increase in base price, new user acquisition and transaction volume slipped slightly.

Otherside Vessels floor price and normal transactions, data source: NFTGo.io

On the one hand, many other collections have joined LOTM, which is a good sign that PFPs are becoming more functional. On the other hand, a dedicated offline event for a small group of 40 Voyagers in LA, aimed at raising the engagement climate for Otherside, didn't succeed in attracting a wider player base.

Trading volume, liquidity and holders of Otherside Vessels, data source: NFTGo.io

However, we still see strong confidence from Ape holders. In our interview, boredgentleman said, "I don't think this particular game has had any impact on the overall positivity of the community, but it's a sure sign that YugaLabs wants to deliver on their promises. They will." Despite that There are still shortcomings, but this sentiment underscores the trust the community has in the games Yuga Labs is developing.

Summarize

The NFT market remained weak in July, with a market sentiment index of 17, indicating continued pessimism. Many traders have already suffered losses as prices continue to decline from last year's bubble peak. However, there are some encouraging signs emerging. The blue-chip NFT, embodied by Bored Ape Yacht Club collectibles, has rebounded from its lows earlier this summer. This could signal a bottom process and a potential recovery for top NFT projects.

Boredgentleman.eth offers a forward-looking view, "Yes, unfortunately there is very little interest in NFTs right now, and the market is showing up digitally. My mind is on the Metaverse, the rest really can't take the focus Back in this space. Crypto + NFTs + AI = Metaverse. It's going to be crazy."

Overall, while the current landscape may present challenges, many investors will still show abiding confidence in the long-term value of the Metaverse and crafted NFT projects. Their focus remains firmly focused on the long-term potential of transformative technologies.