Are We Popping NFT Bubble Yet?!

The NFT market continues to outperform. However, the bubble is inflated along with NFT, or at least, it seems like a bubble shape.

What is a bubble?

It is an economic phenomenon that speculative prices of any kind abruptly surge but only after the price abruptly decreases to recognize as a bubble.

5 stages of a bubble

There are 5 stages from discovery, shock, FOMO, dip, and bottom.

Discovery

This stage is for people to discover a new thing, like the beginning of Bitcoin.

*Shock

This stage is for people to cautionary believe such things are worth something and it did pop up.

*FOMO

This stage is when people start realizing that things are amazing and people are trying to buy the high.

*Dip

This stage is when people start taking profits and the price drop sharply.

*Bottom

This stage is when people recognize that the price will become so cheap and no one dares to buyback.

It comes with your psychology of 5 stages

There are physiological stages from denial, anger, bargaining, depression, and acceptance.

*Denial

At this stage, people think such a thing is too good to be true.

*Anger

At this stage, people think they were too stupid to hesitate to get into earlier.

*Bargaining

At this stage, people think the price can still go up even it may be at its peak already.

*Depression

At this stage, people think the price can recover even after the huge dip.

*Acceptance

At this stage, people think the price can never recover and sold for the loss.

OpenSea product chief accused of flipping NFTs

The news broke out to accuse of Product Chief was doing inside trading with NFTs before the platform prompts them.

Blockchain shows the truth

Suspicious flipping activities of artworks happen on the OpenSea accounts that show someone buys or sells from collections or creators before even featuring or promoting artworks.

OpenSea responses aren’t great

CEO of OpenSea makes announcements about the activity and reinstates that team members should not do such things and they are prohibited from using the information to conduct inside trades.

People aren’t satisfied with

Despite announcements, community members and the internet are angry and not satisfied with it. There has not yet resolution about such activities.

NFT bubble stage

We are at the FOMO stage. The price of NFTs is expensive as we all recognized. But more importantly, people are still thinking about the price of NFTs are a bargain and continue buying up.

In conclusion

I do not know when the bubble may pop or any kind of prediction of the bubble. OpenSea insider trades may continue to inflate the market until they cannot do so.

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