• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer
  • About us
  • Write for us
  • Terms and Conditions
  • Privacy Policy
  • Disclaimer
  • Contact
  • All Posts
  • Advertise

TronWeekly

Crypto World News

  • Home
  • Education
    • Best TRON Wallets
    • Beginner’s guide to TRON
  • Opinion
    • Tron Tokens
    • Market Analysis
  • Industry
    • Tron Exchange
    • Project Review
  • Press Release
  • Advertise
  • About us
    • The Team
    • Editorial Policy
    • Write for us
    • Privacy Policy
    • Disclaimer
    • Terms and Conditions
    • Contact
You are here: Home / News / World / Want to be a successful NFT trader? Watch out for these tricks
Want to be a successful NFT trader? Watch out for these tricks

Want to be a successful NFT trader? Watch out for these tricks

December 20, 2021 by Lipika Deka

Non-fungible tokens or NFTs have exploded in popularity over the last year. The ever-increasing craze in this sector might be overwhelming for some but a report published by a leading blockchain data platform Chainalysis throws some light on the overall trends and behavior of the traders as well as provide some strategies for newbie investors.

In the detailed report, the platform has observed that Cryptopunks continues to be the most popular NFT with over $3 billion in transaction volume sinch March 2021.

1 1

On the trading front, the report pointed out that the market is primarily retail-driven [ below $10k worth of cryptocurrency] but institutions and high net worth collectors [ above $100k ] make up the majority of transaction volume. Let’s see how these investors are faring in the market.

What does it take to be a good NFT collector?

Whitelisting is key

Data from the largest marketplace, OpenSea suggests that users who make the whitelist and later sell their newly minted nfts gain a profit of 75.7% compared to 20.8% for those without being whitelisted. For starters, the whitelist is a mechanism that explicitly allows some identified entities to access a particular privilege, service, etc.

In this case, Nft creators gather a community of dedicated followers through different promotional activities prior to releasing their projects. This core group is then added to a “whitelist”, allowing them to buy the new assets at a discounted range during the minting process.

2 1
Want to be a successful NFT trader? Watch out for these tricks 4

Flipping NFTs with a previous sales history has a much higher success rate than reselling these tokens purchased during minting.

Secondly, the report noted that collectors are better off flipping these digital tokens they buy on the secondary market than those purchased through minting.

Data shows that 65.1% of these digital collectibles sold after being purchased from another user result in a profit for the collector versus 28.5% for these assets purchased during minting. Observing that flipping activity is too concentrated, it said,

“20% of user addresses on OpenSea account for 80% of secondary NFT sales, while just 5% of all addresses account for 80% of profits made on secondary sales.”

Besides that, the report stated other factors that play a part in profits are trading experience and diversifying capital across NFT collections. 

Filed Under: World, News Tagged With: Chainalysis, NFT

Primary Sidebar

Recent Posts

  • Is Cardano Being “Aggressively Priced” An Understatement? August 9, 2022
  • BitMex exec pleads guilty in violation of Anti-Money Laundering Act August 9, 2022
  • Robinhood Lists Stellar [XLM] And Avalanche [AVAX] Amidst SEC Probe August 9, 2022
  • Ethereum merge to leave Ether derivative trading unaffected: FTX August 9, 2022
  • Cardano’s Buying Activity Shoot Up Due To These Possible Reasons August 9, 2022

Footer

News

  • Altcoin News
  • Bitcoin News
  • Blockchain
  • Tron News
  • World

Digest

  • Meet the Founder
  • Price Winning Article
  • DeFi
  • Cyber Security
  • Crypto Scam

Industry

  • Project Review
  • Technology
  • Fintech
  • Tron Exchange
  • New in Town

Tron Universe

  • Event and Tron Parties
  • New in Town
  • Tron Tokens

Follow Us

Subscribe US

Copyright © 2022 · Tron Weekly. All Rights Reserved. NOTE: Tron Weekly is an independent crypto news site that adheres to the strict journalism policy anchored on transparency, trust, and objectivity, we have no affiliation with the TRON Foundation, its founder Justin Sun or any other cryptocurrency firm.