The rush for CryptoPunk non-fungible tokens (NFTs) surged this week, with daily trading volumes reaching tens of millions of dollars.
While some have labeled NFTs as an over-the-top fad, CryptoPunks fans are not among them. Thanks to some huge sales, the price of the popular NFT line produced by Larva Labs has shot up 50% in the past week. On top of the increase in value, the popular digital art has seen a 195.54% increase in daily trading volume in the same time frame. It looks like the CryptoPunk hype isn’t slowing down, even after a week of being on fire. Since yesterday, CryptoPunk sales are up 64% and trading volume is up 90%. The total number of traders is also up more than 50% since Thursday. These numbers represent about 10,720 transactions in the past week. Nearly 2,500 of those transactions were made in the last 24 hours.
Bulk sales are driving the market
The uptick in interest follows several multi-million sales of CryptoPunk NFTs on July 30.CryptoPunk #5217 sold from user Snowfro to an unknown buyer for $5.45 million. Meanwhile, CryptoPunk #2140 sold for $3.76 million to an American entrepreneur, Gary Vaynerchuck.These two remain the third and fourth highest selling examples of the series to date. These two sales contributed to CryptoPunk NFTs best 24-hour volume, reaching $46 million on Thursday, July 29.
CryptoPunk NFTs are now available for lease through the ReNFT platform. According to the company’s website, “CryptoPunk owners signed a special deal. The deal follows a tenant rights agreement and only allows CryptoPunk to be displayed as your avatar for a fixed period of time, up to 99 days.”
This feature will allow CryptoPunk owners to profit over time by renting out their valuable NFTs, thus pushing up the potential value. The deal allows individuals to flaunt their rented NFTs on social media or the NFT marketplace of their choice.Owners are asked not to use said Punk while the rights are being rented.
CryptoPunk’s closest competitor is Axie Infinity. while the gaming-focused NFT has far more dealers – 61,000 to be more precise – sales volume lags behind at around $15 million.