On February 9th, DappRadar published a report showing that the Ethereum NFT market cap value fell by 59.60% from $9.3 billion in 2022 to around $3.7 billion in early 2023.
DappRadar’s study is based on the marketcap analysis of 81 of the largest NFT collections running on the Ethereum network.
2/ The market cap for 81 Ethereum collections analyzed by our machine-learning algorithm experienced a decrease of 59.60% in USD value, from $9.3B in the beginning of 2022 to $3.7B at the end of the year. 📉
— DappRadar (@DappRadar) February 9, 2023
Therefore, the drop in the market cap of NFT projects was not due to a lack of interest on the part of investors but to the manipulations of bad actors in the ecosystem. This is probably the main cause of the broader collapse of the crypto industry, as during the collapse of FTX, the market cap of the entire NFT ecosystem crashed following the global crypto market.