Crypto Market Update: NFTs Left Behind as Bitcoin Surges

Kraken Closes NFT Marketplace

Kraken Shuts Down NFT Trading, Users Unable to Withdraw NFTs

The Kraken exchange announced the closure of its NFT marketplace, leaving users unable to withdraw their non-fungible tokens after February. This decision comes as NFTs fail to keep up with the recent crypto rally, with major tokens like Bored Apes and CryptoPunks losing traction.

Crypto Market Boom Excludes NFTs

Bitcoin and Altcoins Surge, Leaving NFTs Behind

Bitcoin, Ethereum, Solana, Cardano, Dogecoin, and Shiba Inu have all experienced significant price increases in the past month. Meanwhile, NFTs struggle to join the crypto rally, with their market cap falling short in comparison. The surge in crypto-linked stocks further highlights the disparity in performance within the crypto market.

Factors Driving the Crypto Rally

Trump’s Impact, Regulatory Expectations, and Mainstream Adoption

The recent crypto rally has been influenced by various factors, including optimism surrounding Trump’s crypto-related promises, expectations of friendlier regulations under new leadership, and increased adoption by mainstream exchanges like Robinhood. These developments have contributed to the sharp rise in crypto market capitalization.

NFTs Face Challenges Amid Crypto Market Boom

Bitwise NFT Collection Index Reflects Volatility

Bitwise’s “blue chip” NFT collection index has seen fluctuations, with a significant increase in the past month but a substantial decrease since its inception. The lackluster performance of NFTs postelection and the closure of Kraken’s marketplace underscore the challenges faced by NFTs amid the current crypto market frenzy. The sustainability of the rally remains uncertain.