Despite its modest gas expenses, NFT holders are concerned about OpenSea’s trading volume

NFT traders experienced a spectrum of emotions at the start of the year as OpenSea’s monthly volumes for January 2022 quickly surpassed those for December 2021 – even before the month had ended. What do the numbers say now that February is drawing to a close?

So yet, it’s impossible to predict whether OpenSea’s February trade volume would surpass that of January. At the time of publication, the total amount raised was $2,537,257,571.44126. This is over half of the $4,954,858,223.87724 in January.

Source : Dune Analytics

It obviously raises the question of whether the trading volumes observed by OpenSea [Ethereum] in January 2o22 are sustainable – or if it’s a one-trick pony situation.

Many NFT enthusiasts are aware that NFT marketplace trade volumes are heavily influenced by Ethereum’s gas fees. Higher gas prices could deter both creators and collectors, resulting in reduced volumes. However, Ethereum’s gas fees have been decreasing for quite some time.
For example, the average gas price fell to 73.151 gwei, a five-month low.

Furthermore, according to Etherscan, gas fees were roughly 84 gwei at the time of publication.

When these data are considered together, it appears that there may be another cause for OpenSea’s halting growth. Perhaps a rising star from a competing NFT market.

LooksRare has been making news for its daily trading volumes, which have surpassed those of even OpenSea. Analysts, on the other hand, have blasted the amount of wash-trading that allows LooksRare users to collect LOOKS tokens as rewards.

When the facts is examined – in this case, the small number of daily users on LooksRare – it appears improbable that the new NFT marketplace has been sucking customers away from its larger counterpart.

Source : Dune Analytics

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