The Bored Ape Yacht Club (BAYC) collection’s floor price has plunged to a five-month low of 55.59 ether (ETH), according to data from Cryptowatch. This drop in NFT prices was triggered by “franklinisbored,” a pseudonymous holder who sold most of their collection. On-chain data reveals that the user sold at least 27 BAYC NFTs over a 12-hour period, earning 1439.5828 ETH ($2.8 million) in the process. Franklinisbored explained that they had to liquidate their NFTs due to “unfortunate” real-life issues that required them to pay off BendDAO loans while liquidity was available. They added that they would be taking a break from NFT trading and Twitter to focus on their private life.
Data from Etherscan confirms that numerous transactions were made from franklinisbored’s wallet to BendDAO, lending credence to their explanation. However, the sale triggered a sharp decline in the BAYC collection’s value, with its floor price hitting a five-month low.
Despite the drop in value, ApeCoin (APE), the native governance token for the Bored Ape Yacht Club ecosystem, has remained flat in terms of its dollar valuation over the past 24 hours, according to CoinDesk data.
This news highlights the volatility of the NFT market and how a single large sale can significantly impact the value of a collection. It also underscores the importance of due diligence and research before investing in NFTs. While NFTs have become increasingly popular in recent months, investors should be aware of the risks involved and exercise caution.