Survey Reveals Only 19% Expect NFTs to Recover This Cycle
Joerg Hiller Aug 02, 2024 11:48
A CoinGecko survey indicates that only 19% of crypto participants expect NFTs to make a comeback this cycle. Gaming and metaverse items are considered the most bullish use cases.
A recent survey conducted by CoinGecko reveals that only 19.4% of crypto participants anticipate a resurgence of NFTs in the current cycle. The survey, which gathered responses from 2,558 crypto enthusiasts, paints a rather bleak picture for the immediate future of NFTs.
Will NFTs Come Back?
Despite generally bullish sentiments in the crypto market, 54.1% of respondents do not expect NFTs to make a comeback in the near term. Among them, 29.5% strongly disagreed with the notion, while 24.7% were moderately bearish. Another 26.4% held a neutral stance, possibly adopting a wait-and-see approach or displaying a lack of interest in NFTs.
The survey also found no significant differences in sentiment between first-time crypto participants and veterans, indicating a general skepticism across experience levels. Builders and spectators were slightly more optimistic, with 28.9% and 29.1% respectively believing in a potential recovery for NFTs, compared to just 17.1% of investors and 20.9% of traders.
| Participation | Bearish NFTs | Neutral | Bullish NFTs |
|---|---|---|---|
| Investor | 56.1% | 26.8% | 17.1% |
| Trader | 54.4% | 24.7% | 20.9% |
| Builder | 49.2% | 21.9% | 28.9% |
| Spectator | 38.2% | 32.7% | 29.1% |
What Is the Most Popular NFT Use Case?
When it comes to NFT use cases, the survey indicates a diverse range of opinions. Gaming and metaverse items emerged as the most bullish use case, with 17.2% of participants viewing them favorably. Other popular use cases include memes (9.5%), profile pictures or avatars (8.3%), and art (7.6%).
Less popular use cases, such as membership access, domain names, and redeemables, saw only 0.6% to 4.2% of respondents expressing bullish sentiments. This suggests a decline in enthusiasm for these applications since the 2021 bull run. Additionally, 36.9% of participants identified as NFT bears or were indifferent, indicating a lack of bullish sentiment towards NFTs overall.
| Rank | NFT Use Case | Share of Respondents |
|---|---|---|
| 1 | Game & metaverse items | 17.2% |
| 2 | Meme | 9.5% |
| 3 | Profile pictures (PFPs) | 8.3% |
| 4 | Art | 7.6% |
| 5 | Membership access | 4.2% |
| 6 | Domain names | 3.5% |
| 7 | Event ticketing | 3.4% |
| 8 | Collectible memento | 3.2% |
| 9 | Music | 2.6% |
| 10 | Redeemables | 1.7% |
| 11 | Others | 1.3% |
| 12 | RWA | 0.6% |
The lack of consensus on NFT use cases reflects the technology's wide range of potential applications and its early stage of adoption. This underscores the need for a compelling narrative that could drive an NFT comeback.
Methodology
The survey was part of CoinGecko's Post-Halving Sentiment Survey, conducted from June 25 to July 8, 2024. Among the respondents, 69% identified as long-term crypto investors, 18% as short-term traders, 7% as builders, and 6% as spectators. Geographically, 90% of participants were based in Europe, Asia, North America, and Africa.
For more information, you can read the full report on the CoinGecko website here.
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