Reddit Gen3 collectibles dumping fast; some are down 94% in value
Reports allege that the Reddit Gen 3 NFT collections are dumping vastly, causing losses mainly for speculative traders.
Reddit Gen 3 NFTs dumping
A Redditor recently noted that the 3rd Generation Reddit Avatars are flopping, especially for speculative buyers. Many speculative buyers have been forced to sell the NFTs at shallow values to salvage some amount. The general narrative is that the NFTs are dumping at a fast rate.
Investigations into the claims have revealed that most NFTs are selling in losses compared to their minting and listing prices.
One of the avatars dumping value is the Monarch Artisman. For instance, research reveals that Monarch Artisman #1258 was minted on April 14 and listed at 0.03 ETH, an equivalent of $59.
Monarch Artisman #1258 history | Source: Rarible
When writing this report, this NFT was $0.003083 WETH, an equivalent of $6. The minter reduced the value of the NFT several times, from $59 to $29, to $7, and finally to $6, before getting a buyer.
Another Monarch Artisman #1573 was minted on April 14 and listed for 0.006 WETH, an equivalent of $12. The NFT was sold a few hours ago at $6. So basically, the Monarch Artisman Collection, which initially had a value of $10, is trading at about half.
On Opensea, Monarch Artisan #1505 was listed at 0.008 ETH but now trades at merely 0.0045 ETH. The floor price of the collection based on OpenSea is 0.003 ETH, but the NFT’s best offer is about 0.0025 ETH.
Eco Adventurer, another NFT from the Gen 3 collection of Reddit avatars, is reportedly highly devalued. Some NFTs with a mint cost of $25 were selling for less than $6.
Interestingly, even days after minting, some of those NFTs have yet to attract the attention of a single bid. For instance, Eco Adventurer #38, valued at $19, has yet to attract a bid.
The Redditor mentioned earlier that some NFTs are selling at 94% losses. Traders are ready to sell them at losses to recover 6% of their investment value. Since the mint price is $25, the NFTs selling at $6 means a loss of 75% below the mint price.
Ember Sorcerer’s value should be atleast $100. Looking at OpenSea, the NFT is trading at as low as $6.
Ember Sorcerer #102, listed initially at 0.05 ETH, is now at 0.04 ETH. The best offer for this NFT is 0.005 ETH, which is about $9.8. Ember Sorcerer #3, currently listed at 0.12 ETH, has zero offers.
Some are trading in profit
While many NFTs are dumping, Nyan Cat and Degenerate Artisman are gaining slowly.
Nyan Cat has been trending vastly on Twitter because of its prices. A couple of days ago, Nyat Cat #1 sold for 3.33 ETH.
Reports show that Degenerate Artisman is pumping because of memes on Reddit. Moreover, Degenerate Artisman has some use cases.