Solana-based NFT marketplace, Tensor Trade, saw a record number of traders on April 3, according to NFT analytics service SolanaFloor. The activity on Tensor has been intensifying since the end of 2023, with the number of traders breaking above 6,000.
However, Tensor’s trading volume in SOL terms has been consistently declining since the all-time high established in mid-December last year.
This suggests the average cost of NFT collections and individual NFTs listed on Tensor has been declining, making them more affordable for retail traders.
Indeed, examining the most popular collections by 7-day trading volume on Tensor reveals that prices of 10 out of the top 15 collections have been declining over the last week. For example, Bears Studio and Worms from Holes have dropped in value by over 40%.
The phenomenon of surging volumes amid declining prices is best reflected by ‘Froganas,’ the most traded NFT collection on Tensor right now. It had seen its price decline by 72% since January, while trading volumes increased in March.
As we reported earlier, trading volume on Solana’s two leading NFT marketplaces, Tensor and Magic Eden, started to gain traction in February.
While Magic Eden has outperformed Tensor in terms of USD volume starting with March, Tensor continues to dominate the Solana NFT market in terms of the number of traders and executed trades. When it comes to unique traders, Tensor had a market share of over 90% at the beginning of April.
The increase in activity on Tensor is likely driven by the launch of its governance token, TNSR, which launches today, April 8. To qualify for the TNSR airdrop, users have been encouraged to earn points on Tensor, including by trading and bidding on NFTs.
Crypto exchange OKX has already announced that it will list TNSR starting on April 8.
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