Until early 2022, the Bored Ape Yacht Club (BAYC) stood as a beacon of allure within the realm of non-fungible tokens (NFTs). Its irresistible investment potential enticed not only regular enthusiasts but also celebrities, who willingly poured thousands of dollars into acquiring these unique ape-faced tokens.However, fast forward to last month, the BAYC NFTs have experienced a staggering decline, plummeting by more than 85% from their peak in April 2022.On 2 July, the floor price of these coveted tokens plunged to a disheartening 27.4 ETH, equivalent to USD 53,000. It is worth noting that the BAYC collection once reached remarkable heights, with its floor price soaring to a staggering 153.7 ETH, or approximately USD 430,000, back in last April.However, the subsequent decline has been particularly pronounced in recent months. Data sourced from the <a href="https://opensea.io/collection/boredapeyachtclub" rel="noopener noreferrer nofollow">NFT marketplace OpenSea</a> highlights a stark reality: the floor price of these tokens has endured a significant drop of at least 50% since April 2023 when it stood at approximately 64 ETH, or USD 126,000.The lull in NFT interest has resulted in the market for Apes brutally hammered and at the time of writing, BAYC tokens are trading on OpenSea at a floor price of 30.19 ETH, valuing a little below USD 78,000. These startling figures beg the question: what factors have led to such a dramatic decrease in value within a relatively short span of time?<img src="https://academy-public.coinmarketcap.com/srd-optimized-uploads/6d475e48dc4d4f0c93dce42f5983e8fc.png" />Twitter user Will Clemente, Co-founder of digital asset research firm Reflexivity Research, posted that BAYC “is now down over 90% from its $600k high,” on 3 July.<img src="https://academy-public.coinmarketcap.com/srd-optimized-uploads/4db4b3fab0e347f0a28511b0e48e61dc.png" />Theories and Conjectures Aside, Things Might Actually be Simpler Amidst the speculation and discussion on Twitter surrounding the current state of BAYC, The Block Research analyst Brad Kay presents a compelling argument: sometimes, the simplest explanation is also the most accurate. He speculated that, “Prices in any market are set by the marginal buyer and seller, and in the current scenario, there appears to be a scarcity of buyers,” and large holders of BAYC dumping the tokens can also negatively affect the price.As NFT enthusiasts and observers delve into intricate theories and conjectures, it is worth considering the possibility that the truth behind the BAYC phenomenon lies in a straightforward explanation.Public Figures Like Celebrities Among Those ImpactedThe recent sharp decline in token values has undeniably impacted the financial portfolios of prominent individuals across various fields, encompassing celebrities from the realms of sports, entertainment, and business.Take, for instance, the case of Stephen Curry, an acclaimed National Basketball Association (NBA) player. Back in August 2021, amidst the exhilarating surge in popularity, he invested 55 ETH, equivalent to USD 180,000 at the time, to acquire a blue-skinned BAYC token, designated as #7990.<img src="https://academy-public.coinmarketcap.com/srd-optimized-uploads/37f52db724ce41f2aa65f6139e6ef547.png" />However, the tides have turned, and the token&#39;s value has plummeted significantly. Presently, the same token stands at a mere 30.5 ETH, valuing below USD 59,000 according to the current exchange rate, owing to the prevailing floor price.Next comes BAYC #3667, the token reportedly in the possession of the esteemed National Football League (NFL) superstar, Tom Brady. In a transaction that took place back in April 2022, this token exchanged hands for a considerable sum of 133 ETH. But as of now, the token&#39;s current best offer stands at a mere 28.97 ETH, equating to a valuation of approximately USD 55,000.<img src="https://academy-public.coinmarketcap.com/srd-optimized-uploads/203e52cca54a490885c8e0d9af5f6433.png" />In January 2022, Neymar Jr, the revered Brazilian football maestro, renowned for his dazzling skills on the field while representing the esteemed Paris Saint-Germain (PSG) football club, ventured into the world of NFTs by acquiring two captivating BAYC tokens.The purchase came at a substantial cost, with Ape #5269 requiring an investment of 189 ETH and Ape #6633 fetching an impressive 153 ETH. Together, these acquisitions amounted to a staggering sum of around USD 790,000. However, the winds of change have blown in an unexpected direction. As of the time of writing, the combined best offer for both tokens stands at a mere 60 ETH, roughly equivalent to USD 120,000.<img src="https://academy-public.coinmarketcap.com/srd-optimized-uploads/f6d6b00d96c4451ab1c2b74428e4a352.png" />One of the biggest standout is <a href="https://www.coinlive.com/news-detail/43415" rel="noopener noreferrer nofollow">Justin Bieber</a>, the globally celebrated singer-songwriter. Back in January 2022, he acquired token #3001, plunging an astonishing 500 ETH into the transaction, amounting to a mind-boggling USD 1,150,000 at the time.However, the current market conditions have driven the token&#39;s value to a meager USD 55,000, which represents a mere 4% of Bieber&#39;s initial investment.<img src="https://academy-public.coinmarketcap.com/srd-optimized-uploads/e25028dcc2be4a3199fce9b0c533a006.png" />The other celebrities holding BAYC tokens include Serena Williams, Gwyneth Paltrow, Post Malone, Paris Hilton, Eminem, Jimmy Fallon, and Steve Aoki. A cloud of uncertainty looms overhead as the floor price of BAYC takes a steep dive amidst a broader waning interest in NFTs. As a consequence, the tokens held by these illustrious figures have suffered a significant decline in value, no longer commanding the price for which they were initially acquired.The individuals, who entered the market at its peak, are now grappling with substantial losses. In fact, some of them are experiencing even more severe downturns than Justin Bieber himself, leaving them in a precarious financial situation. Twitter user going by the name Chairman posted that someone had bought the BAYC shown below in October 2021 for USD $3.4 million, but it is only worth USD 57,380 now.<img src="https://academy-public.coinmarketcap.com/srd-optimized-uploads/0f19193b29b345a68313b28c8e3cbfe3.png" />Despite the Almost ATL, Generated Royalties Are Still SubstantialIt is worth acknowledging that the initial holders of BAYC tokens have managed to maintain a relatively favourable position amidst the current landscape. Despite recent fluctuations, BAYC continue to command significant value and remain highly sought-after in comparison to other collections of NFTs.Moreover, it is crucial to recognise that BAYC tokens are not the sole crypto-assets to have experienced a tumultuous journey of exhilarating surges and subsequent declines within the past few years. In fact, their decline in value aligns with the broader NFT market, which, according to certain indicators, has reached a nadir not witnessed in the past two years.As a matter of fact, Nansen has recently unveiled fascinating insights into the realm of ETH NFTs and their royalty earnings. At the forefront of this ETH NFT movement stands BAYC, which has astoundingly generated royalties exceeding USD 58 million.<img src="https://academy-public.coinmarketcap.com/srd-optimized-uploads/838eb304c559475b8cf197a0a7958995.png" />What Does the Future Holds for NFTs?The potential for NFTs to attain widespread popularity in the future cannot be underestimated. Several key factors contribute to this promising outlook, including ongoing infrastructure development, the inherent scarcity of NFTs, the emergence of diversification opportunities, the expanding adoption in diverse sectors, and the growing acceptance by mainstream artists and brands. These elements collectively lay the foundation for the NFT market to regain momentum and flourish.However, it is crucial to recognize that the NFT market is still in a state of evolution, and its future trajectory remains uncertain. Investors must exercise prudence, engage in thorough research, and grasp the dynamics of the NFT market before participating in any transactions.While NFTs have experienced a decline, they are far from obsolete. Observing the trajectory of this unique asset class will undoubtedly be an engrossing journey.

BAYC Mayhem: Celeb Tokens Sink as NFT Market Dips

Coinlive

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