Bored Ape Yacht Club’s Ethereum floor price drops to 9-month low
- Bored Ape Yacht Club NFT Collection floor price drops more than 20% in seven days.
- Its closest rival, CryptoPunks, has a floor price of 66.49 ETH and a market capitalization of $835 million.
- Most BAYC NFTs have health factors above 1.0.
As the market for web3 digital assets continues to decline, the floor price (ETH) of the most important NFT collection has slipped to one of its lowest levels since the start of the year.
Over the past week, the floor price of the Bored Ape Yacht Club (BAYC) NFT collection has declined by more than 20%, putting it below 50 ETH, according to available data.
BAYC’s floor price, the minimum amount a person must pay to access an NFT collection, is currently 49.61 ETH, or $62,626.06. According to data from CoinGecko, the floor price has been trending lower after hitting an all-time high of 153.7 ETH in May this year.
On the other hand, BAYC’s closest rival, CryptoPunks, has a floor price of 66.49 ETH and a market cap of $835,670,234. Still, the Bored Ape Collection remains the highest rated despite having a very low market cap of $627,584,408.
Additionally, Bored Ape NFTS, bought with loans from peer-to-peer lending platform BenDAO, could face liquidation as the collection floor continues to fall. BenDAO allows users to borrow up to 40% of an NFT’s floor price. If the loan repayment fails and the floor price of the NFT falls to the point where its “health factor” is less than 1, the NFT will be offered for sale in a 48-hour auction to the highest bidder.
The health factor is a numerical representation of the safety of the deposited NFT against the borrowed ETH and its underlying value. Most BAYC NFTs have health factors above 1.0
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