NFT Market Rebounds After $1.2 Billion Wipeout in Historic Crypto Crash

Digital Collectibles Show Early Signs of Recovery, But Top Ethereum Collections Remain Under Pressure

The non-fungible token (NFT) market is showing early signs of stabilization after last Friday’s historic crypto crash erased nearly $1.2 billion in market capitalization across major NFT collections. Despite a modest rebound over the weekend, data indicates that leading projects such as Bored Ape Yacht Club (BAYC) and Pudgy Penguins remain deep in the red.

The total NFT market value plunged from $6.2 billion on Friday to $5 billion on Saturday, a decline of roughly 20% in just 24 hours. The rapid downturn reflected the sector’s tight correlation with crypto market sentiment, following the weekend’s $20 billion liquidation event that shocked global traders.

By Sunday, the NFT market had recovered slightly to $5.5 billion, up 10% from its lows. However, analysts warn that liquidity remains thin, with investors still cautious amid ongoing volatility in the broader crypto ecosystem.

“NFTs tend to mirror macro crypto moves because they’re priced in ETH and rely on speculative liquidity,” said blockchain strategist Rahul Menon, adding that “when Bitcoin and Ethereum crash, NFTs often feel amplified effects.”

Ethereum-based blue chips continue to lag. BAYC is down 10.2%, Pudgy Penguins has slipped 21.4%, and CryptoPunks is still 8% lower on the week. Meanwhile, collections like Infinex Patrons and Fidenza by Tyler Hobbs have seen double-digit declines on the monthly chart.

Seven-day NFT collection heatmap

Still, not all projects are bleeding. Mutant Ape Yacht Club (MAYC) posted a 1.5% daily gain, and Hyperliquid’s Hypurr NFTs edged 2.8% higher, hinting that buyers may be selectively returning to undervalued assets.

The crash, triggered by U.S. President Donald Trump’s announcement of a 100% tariff on Chinese imports, sent Bitcoin plunging to $102,000 on Binance futures, sparking one of the largest liquidation waves in crypto history.

While the NFT sector’s partial rebound suggests renewed investor confidence, analysts caution that recovery will depend on broader market stability and sustained Ethereum strength.

Disclaimer

This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.