Non-fungible tokens (NFTs) extended their year-end decline in December, with total market valuations falling to their lowest level in 2025.
The overall valuation of the NFT sector fell to $2.5 billion in December, according to data from CoinGecko. This was a 72% decrease from January's peak of $9.2 billion.
This decline occurred as NFT sales activity continued to be weak following the weak performance in November. Weekly NFT sales in December failed to exceed $70 million in the first three weeks of the month, falling below November's pace.
December is on track to strengthen the downtrend in the second half of 2025 as year-end liquidity fades. Despite renewed interest in the use case earlier this year with the proliferation of physical collectibles such as lovebugs and Pokemon cards, the NFT market has not been able to regain its former glory.
NFT heatmap for the last 30 days. Source: CoinGecko
NFT sales decline due to fewer market participants
The slowdown in NFT sales coincided with a sharp decline in market participants, with both buyers and sellers exiting the market in December.
According to CryptoSlam data, the number of unique buyers decreased from 204,032 in the last week of November to 184,302 in the first week of December. Buyer participation continued to decline throughout the month, reaching 135,120 in the third week.
Sellers also followed the decline. The number of unique sellers fell by 35.6% over the same period, dropping below the 100,000 threshold for the first time since April 2021, according to the data.
Trading also took a hit. According to CryptoSlam, total NFT transactions fell to 800,000 in the third week of December after less than 1 million transactions were recorded in the first week of the month.
Related: As prices fall in 2025, NFTs have moved into utility and culture
Prices of blue-chip NFTs fall despite some resilience
The floor price performance of major NFT collections reflects the overall market weakness, with most of the top 10 projects by market capitalization posting double-digit declines over the past 30 days.
According to data from CoinGecko, flagship collections such as CryptoPunks, Bored Ape Yacht Club, and Pudgy Penguins have seen price declines ranging from 12% to 28% over 30 days, showing that even established NFT brands are under downward pressure.
Nevertheless, art-focused collections such as Autoglyph, Tyler Hobbs' Fidenza, and Snowflo's Chromie Squiggle held up better, posting modest gains over the same period.
Most notably, a collection called Sports Rollbot is among the top 10 NFT collections by market capitalization, with a minimum price of $5,800 and a valuation of over $58 million. The entry of a new contender has pushed Mutant Ape Yacht Club out of the top ten.
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