That’s a hell of a volume spike.
1 CryptoPunk = 59E floor = $122,000 today.
There were more CryptoPunks traded on the Larva Labs marketplace in the past 5 days than in any other period this past year. I counted 61 punks sold over the past 24 hours.
What’s driving the price increase? A few of these factors contribute:
Punks are unique. They straddle between art and PFP — perhaps the best of both worlds. In fact, they are more akin to museum artifacts. Nothing can replicate the historical provenance of CryptoPunks.
CryptoPunk holders are a different breed from typical NFT degens and are generally affluent and diamond-handed. Many holders use it as their profile pics, have built a personal brand around their punk, and are unlikely to sell. Top holders are wealthy enough that they don’t feel a need to sell; rather they see it as a flex.
No roadmap means zero execution risk. It is the purest form of cultural, social/flex, and collectible value.
But most importantly, mindsets have changed. People are starting to believe that we’re entering a new cycle, perhaps even a glorious bull run.
And that means those who see punks as top-tier assets and want to own more (quite a lot of people, IMO) can no longer afford to watch and wait, like they’ve been doing these past months. They need to act, lest they miss the boat. And so they buy. And it sucks in others who see this activity and fear they’ll miss out too.
Even during the deepest part of the bear market, punks held strong with a floor price of >40E. Probably a good time to keep an eye on punks, especially if you believe we’re in for a market recovery in the coming months. I expect a healthy growth in demand/value over a longer timeframe.