This weeks edition is packed with Alpha! + Breakdown on the Yuga Labs Otherside Land sale

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NFT’s can be highly illiquid markets, causing sharp drops in prices due to changes in narratives and trends.

Weekly Market Update

As the above chart shows, the market remained fairly consistent until the Yuga land sale which caused some drastic movement in the markets. Since the launch, the percentage of projects with increased floors has risen. However, the percentage of projects with increased volume and decreased listings has dropped quite dramatically. We anticipated seeing quite a lot of liquid drained from the space due to the land sale which has occurred. We expect some further turbulence as the market enters a period of uncertainty.

Breaking News

Due to the largest event in NFT history, this section will be dedicated to the long-anticipated land sale.

There was unfortunately a widespread grievance towards the minting process of the Otherdeed Sale. During the peak of the minting process, gas fees rose to over an unprecedented $6k. Those that were trying to mint were unable to purchase any further ETH to cover the cost of gas due to how busy the network was. This led to a large number of verified wallets being unable to mint and led to vast sums of gas being lost. The official figures have not been clarified but it is estimated that over $150m of ETH was burnt to gas during the minting process. The only winners from this gas debacle were ETH miners. We will update you further once more details are clarified regarding whether more could be done in terms of optimizations, whether Yuga Labs will explore using their own blockchain and whether there will be any refunds and or compensation for those who lost out. Yuga has said they will refund, however, who they refund and how long this will take is yet to be seen.

Let’s now explore the actual sale itself.

The market has never seen volume quite like it in such a short space of time, at the time of writing the total volume on the Otherside currently stands at 171,488 ETH ($484,968,064.00).

The floor is now levelling off at around the 4ETH region following initial sales in the 8ETH region. In anticipation of the much sought Koda, sales were occurring up into the region of 40ETH. At the time of these sales in the 40ETH region, there was no confirmation that the NFT did contain Koda, it was purely on calculated guesswork on the image the NFT displayed pre reveal. Now the reveal has taken place, land with Koda is proving to be extremely profitable with sales ranging from 40ETH to the highest so far of 216 ETH ($610,848).

Sales are mainly occurring in ETH however following Opensea’s announcement that $APE can be used as a currency on the blockchain there have been a number of sales using the token. Given the expected volatility of the token, we would have advised selling in ETH due to the expected dump $APE is currently going through. At the time of launch, the price of $APE sat at $20 it is now down to $14 so selling in ETH would have been the wise play.

With the 2nd batch of 100k items to come, there are plenty of lessons to be learnt for the Yuga Labs team, especially surrounding the minting process which left many in the lurch for hours and more than many out of pocket.

We will continue to monitor the situation and keep you all updated.

Weekly Winner

Trait Sniper Lifetime Access

This project launched on the 29th of April at 17:00 UTC.

Their bio is as follows “A collection of 3,333 Lifetime Access Pass for Trait Sniper - The Ultimate NFT Trading Platform. Holders will have lifetime access to all must-have tools on Trait Sniper. Holders can have several perks such as: unlocking advanced features, access to partner projects’ whitelists and being a centrepiece of our tokenomic in the future.”

With utility tools, you have the opportunity to receive a double benefit with an increased floor price ( a potentially good long term investment) and then with the correct application of the tool you can make daily gains.

The project minted for 0.2 ETH and the floor quickly rose to 1ETH but has now levelled off at the 0.6 ETH region.

A potential 0.8 gain for those looking to flip or a potential indefinite gain depending on how you utilise the tool.

Always remember to do your own research with any utility tool. The project’s discord will be able to assist in function-based questions so make sure you know what you are doing before making plays.

Weekly Loser

Imaginary Ones

We advised that there was an evident moving trend away from PFP’s and the launch of Imaginary ones further epitomizes our analysis of the market as being accurate.

Their bio is as follows - “Imaginary Ones is a delightful 3D animated art with a collection of 8888 unique NFTs. Imaginary Ones wish to re-ignite your spark to embrace creativity and work on your dreams. Welcome to the Imaginary World, where no ideas too crazy nor dreams too foolish”

Invisible Friends caught the tail-end of the booming PFP bull run and yet their community felt if the project launched just a month or two earlier then sales would have been stronger than the 10-12ETH witnessed on launch.

The Imaginary Ones community felt no different, they felt that this project could have hit similar numbers. With a vibrant discord and big social media presence, it would not have been unforeseeable to see the benchmark of Invisible Friends be reached.

However, the launch of the project has come when the 3D PFP is currently not on trend so the community had to brace for a real disappointment. From the anticipation of a 7ETH + floor, the community were handed a painful dose of reality with the floor being dumped to 0.8 ETH after mint. The floor has recovered ever so slightly to the right side of 1ETH (currently at 1.2ETH) however with the project yet to reveal we would expect another dip.

News and Market Summary written by @DAWA9042

Projects to Watch

A wild week in the NFT space. I’m personally hesitant to invest in the secondary marketplace at the moment due to how much liquidity was just drained. However, there are definitely some projects that I am watching.

Otherdeed for Otherside

Despite the immense backlash that the Otherside have faced I still think they are an amazing purchase. I actually don’t have bags in the Otherside anymore. I sold both my plots pre-reveal after anticipating backlash from the gas war and a post-reveal drop. However, at 4eth this is a really nice pick-up. Historically, betting on Yuga has been profitable almost 100% of the time. Especially, soon after one of their sub-projects launched or their token dropped. I expect this to be similar. When you purchase your plots your pretty much getting buy one get one free. More plots are going to be airdropped to you in the Autumn. Moreover, I’m almost certain this will be the metaverse with the most Web3 mass adoption. Meta will probably have the most Web2 mass adoption. Thus, getting in at the 3 or 4eth levels will probably pay off long term. Keep in mind us minters paid 2eth in gas and 2+ eth worth of $Ape tokens. These prices are pretty close to the mint price. This isn’t without risk but Yuga will probably pump up the land with a whitepaper shortly.

Meebits

I’m including Meebits in this section for similar reasons to Otherdeeds. For those that don’t know, Meebits was acquired by Yuga last month. Yuga has self admittedly neglected this project while they built out and launched the Otherside. However, with that out the way, they will have time to build Meebits out.

Founder of BAYC, Gordon Goner said in a tweet last week: “Took my first week off in forever a little while back. Found myself writing out ideas for @MeebitsNFTs utility the entire time. Big things take time, but the whole team is really excited to start working on Meebits when the Otherside launch is through.”

In my opinion, this would be a great trade. Meebits are clearly going to be built out by Yuga over the coming weeks and months. Although the project sits at a 7eth floor currently, with the correct utility and marketing in place I can see this one doubling from here to the 15eth region. One to watch for sure.

Beanz by Azuki

Including this for two reasons. Insider trading and an announcement that followed this insider trading which may confirm its presence. Over the last 48 hours, Beanz saw a ton of new volume which raised the floor from just above 4eth to 7eth. This then correlated with Azuki teasing the 5th of May on their Twitter. The speculation is that this is the day the Beanz finally reveal. This is definitely a risky play now the floor is at 7eth but I expect to see some upside if the reveal and utility for Beanz are well received by the market. Keep your eyes on it.

Alpha

Pots NFT

I have some interesting alpha to bring to you. However, not much is known about this one. Yesterday, NFT whale and owner of Habibz, Ramo teased some upcoming alpha. I’m assuming he is directly involved with this project as it is slightly out of character. Literally nothing is known about the project other than the video I teased above. It’s definitely worth following closely.

Project PXN

There’s a Dutch Auction extremely soon for what is said to be one of the biggest projects launching this year. However, I must warn you. This is likely going to be one of the biggest gas wars seen to date. Especially, since after Yuga 50,000 people just became experts in how to win a gas war. I wouldn’t even think about getting involved in this gas war unless you have a few ETH to use on gas. I will include details surrounding the mint below:

4th of May

-4000 supply ‘fair dutch auction’ (refunds within 48 hours if you pay above the final price).

-Starts at 8 pm PST and lasts 24 hours.

-Starts at 2eth and reduces 0.05eth every 5 minutes until a minimum of .1eth

-2 per wallet.

5th of May

-Whitelist sale begins at 8 pm PST with a supply of 6000.

-Mint price is 50% of the final dutch auction bid.

-1 mint per wallet.

I can see the dutch auction selling out instantly at 2eth and a huge gas war to win the supply. Be careful. Good opportunity nonetheless.

Zeta Raffle

I bring to you a raffle that I shared in the NFT Scoop discord yesterday. This is worth entering due to there being no requirements to do so. Click here for the raffle link. You can also check out the website here for more details on the project.

Floors to Watch and Alpha written by @Walty

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