In the year By 2024, 98% of NFTs launched are unprofitable, with only 0.2% yielding profits.

A recent analysis shows that the NFT market has struggled in 2024, with untimely price cuts and several failed projects.

The study, conducted by NFTEvening and digital PR agency Storable, examined more than 29,000 NFT collections released during the year, compiling data from OpenSea and Dune Analytics.

NFT market profitability struggle

Titled “The State of NFT Drops in 2024,” the study It confirmed that an average of 3,635 NFT batches were created every month by 2024 in what it believed to be a market glut.

According to the report, 98% of NFT drops are unprofitable and have not recorded any trading activity since September. Additionally, the value of the tokens has reportedly dropped by 50% within the first three days of launch.

The incredibly high drop in NFT, which recorded less than ten trades in the first seven days of its release, is a concern as investors are not happy with the upcoming projects.

Additionally, 84% of NFTs drop to their all-time high (ATH) price in 2024 equal to the mint price, meaning they have not gained any additional value.

According to NFTEvening's analysis, only 0.2% of all non-perishable token pools have generated profits for investors. Even among actively traded or “live” NFTs, only 11.9% proved profitable, showing how much projects are struggling to achieve positive results.

Excitement for new NFT projects

Flooding the market with so many projects has made NFTs struggle to stay relevant, directly affecting trading in the industry. This shows that the trading volume has decreased significantly in the last six months.

According to data from the Dune Analytics dashboard, OpenSea, once one of the best NFT marketplaces, has witnessed a 76.32% drop in daily trading volume since the beginning of the year. In addition, extraction rates were also affected as 64% of NFT drops were less than 10 min.

The survey shows that NFT enthusiasts have hope

In January, both the NFT and crypto markets struggled to overcome the prevailing bearish sentiment. After nearly ten months, crypto investors are reaping the rewards, with Bitcoin hitting all-time highs and dragging down many altcoins.

NFT traders, however, are lagging behind. In situations like market oversupply, fraud and tight economic conditions, the situation may get worse before it gets better.

That said, a recent survey by the same publication found that most NFT enthusiasts are willing to ride out the storm. According to the survey, more than 66% of NFT traders plan to hold their assets, believing that they have undeniable long-term growth potential.

However, 33% are considering exiting the market and 72.3% indicate their intention to exit in 2026. Of this number, 36.4% intend to exit in 2024 and 35.9% in 2025. To improve before making a final decision.