- AVAX’s NFT ecosystem registered growth in the last month.
- A possibility of a trend reversal for the altcoin can’t be ruled out.
Music NFTs gained the attention of many in early 2022 when Snoop Dogg released his collection on sound.xyz. Although music NFTs saw some growth at the end of last year, they have yet to gain traction in 2023.
In this regard, crypto market intelligence platform Messari, recently expounded on the state of music NFTs over the last year.
Music NFTs offer creators an alternative to the take rates seen from traditional platforms.
While Web3 music platforms like @AudiusProject , https://t.co/92WvUy4O2d, and @catalogworks enable musicians to directly monetize their work, they have yet to gain mainstream traction. pic.twitter.com/x5x5BZV4u8
— Messari (@MessariCrypto) February 11, 2023
Interestingly, Avalanche [AVAX] featured NFT artist Mazey Moon in its Artist Spotlight. The artist had her latest collection released in recent times, in which she turned sunsets into music.
“I feel like even though us NFT artists are scattered all over the world, we still want to get to know each other. I didn’t find that on any other blockchain.”
Blending her musical background with a passion for art, Mazey Moon discovered that NFTs were the perfect canvas to create unique audio/visual experiences using “color theory”
— Avalanche (@avalancheavax) February 10, 2023
Read Avalanche’s [AVAX] Price Prediction 2023-24
Meanwhile, Santiment’s chart revealed that Avalanche’s NFT ecosystem registered growth overall in the last 30 days. The total NFT trade counts and trade volume in USD went up, reflecting increased usage.
NFT space grows
On the other hand, AVAX Daily posted Avalanche’s weekly highlight report, in which it was mentioned that Crabada NFT grabbed the top spot last week in terms of total NFT sales in the last seven days, followed by ThorFi.
Avalanche Ecosystem Weekly Highlights
— AVAX Daily (@AVAXDaily) February 10, 2023
Now, despite growth in the NFT ecosystem, AVAX’s daily transaction count declined.
Furthermore, AVAX’s Total Value Locked (TVL) and market capitalization also went south, by 6% and 18%, respectively.
The declining market cap was a result of the token’s negative price action over the last week; AVAX’s price had plummeted by over 14%.
However, according to CoinMarketCap, at the time of writing, the coin was trading at $17.89.
Avalanche’s development activity also went down, which was a concerning factor. The same remained true with its Binance funding rate, which reflected less demand for AVAX from the derivatives market.
How much are 1,10,100 AVAXs worth today
Investors can still be happy
Even so, CryptoQuant’s data revealed that AVAX’s stochastic was in an oversold position, which might give way to increased buying pressure.
What a happenstance! A trend reversal seems to have actually begun as AVAX’s price increased slightly in the last 24 hours of press time.
After a decline, AVAX’s Money Flow Index (MFI) registered a slight uptick and was heading toward the neutral mark.
The Exponential Moving Average (EMA) Ribbon revealed AVAX’s bullish edge in the market as the 20-day EMA was still above the 55-day EMA.
However, the MACD displayed a bearish crossover. Furthermore, the coin’s Chaikin Money Flow (CMF) declined, which might restrict its price from going up in the near term.