Introduction

The NFT market on the Arbitrum blockchain experienced a record-breaking surge on February 20, 2023, setting new highs in sales volume, number of NFT sales, and number of purchasers.

The question is whether it signifies the blossoming days of NFT markets on Arbitrum or is merely a one-day occurrence.

This blog post provides a comprehensive and detailed analysis of what happened on that day, as well as the factors that contributed to this boom.

Overview of the NFT Market on Arbitrum

Arbitrum is a layer 2 scaling solution for the Ethereum blockchain, and its NFT market had a slow start from its inception until September 2022. Between September and November 2022, the NFT sales on Arbitrum reached their peak, but after that period, the NFT market experienced a downward trend. However, in the last week, the daily volume and number of NFT sales, as well as the daily number of users who sold or purchased NFTs on Arbitrum, surpassed their all-time highs. On February 20, 2023, the volume of NFT sales reached 1370 ETH, the daily number of purchasers passed the record of 6200 and reached 6500, and the number of NFT sales on that day peaked to a remarkable 11,400.

NFT Transactions

The daily number of active and new wallets on Arbitrum has been steadily increasing since mid-January, with a 58.3% growth in new wallets last week compared to the previous week. Similarly, the daily number of transactions has followed an upward trend since mid-January. However, NFT transactions showed a steep rise, resulting in a 156% increase in the weekly number of NFT sales. While the total number of NFT transactions does not make up a significant share of all transactions on Arbitrum, its share significantly increased on February 20, 2023.

The Surge of SPACE ID NFT Collection

The SPACE ID .arb Name collection has seen a significant surge in terms of the number of transactions. It is an NFT collection that was distributed to those who registered for ARB domains. In February, ARB ID announced its integration into SPACE ID to develop decentralized identity solutions. Following this, the arb domain registration program against SPACE ID .arb name NFT began on February 20th, resulting in a relatively huge number of NFT minting, transfers, and sales.

Arbitrum in Comparison

This section compares the performance of the Arbitrum NFT market with other chains. Based on the number of sales, Arbitrum usually ranks between Optimism and Flow. However, on February 20th, it reached a similar level as Flow. Additionally, in terms of the number of purchasers, Arbitrum outperformed Solana on that day. Interestingly, on the same day, there was also a spike in Ethereum NFT sales volume, which warrants further investigation.

Conclusion

The NFT market on the Arbitrum blockchain experienced a significant surge on February 20, 2023, setting new highs in sales volume, number of NFT sales, and number of purchasers. This dashboard provided an in-depth analysis of the NFT market on Arbitrum, including its market share and recent trends, specific collections responsible for the surge, and its position within the broader crypto market. With the continued growth of the NFT market on Arbitrum, it will be interesting to see how it evolves and whether it can maintain its momentum.

Check out the dashboard for a detailed analysis!