"ETH-CRM" six-step data method teaches you how to discover high-quality projects
Today's NFT market is in the early stages of explosion, and a large number of new projects are emerging one after another. According to incomplete statistics from NFTGO, since May 2021, at least one NFT project has been announced on each chain every day. At the same time, it is worth noting that, like DeFi, the quality of projects on the market varies, and investors may accidentally fall into the "liquidity trap" in the NFT world and pour a lot of money into a bubble.
In fact, in the blockchain world, both investors and NFT beginners can rely on enough data to facilitate the decision-making process.
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1. Elements: the basic situation of the project
Basic introduction, category
Market value, total circulation
Before investing in a project, the most important thing to know is the basic situation and positioning of these projects.
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Image source NFTGO
First of all, we can get more information about the "project development team" on the official website - the project development team will directly play a decisive role in the quality and future development of the project.
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Image source Larva Labs official website
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Data source NFTGO
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Data source NFTGO
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2. Trade: NFT transaction data
The second step is to analyze the transaction situation of this project. We can analyze the transactions of the projects one by one through the following small aspects:
Liquidity, 24h/7d volume——Is the liquidity of these NFTs good, and will they never be sold after buying them?
The highest transaction price, average price and lowest price—where are the upper and lower limits of NFT?
Transaction frequency and price trend of Top Sales—Is the project as a whole going uphill?
Total number of traders (both buyers and sellers), change and correlation - is the project attracting more traders?
Liquidity, 24h/7d volume
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Data source NFTGO
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Data source NFTGO
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Data source NFTGO
In the early morning of July 31, in just three hours, two high-value transactions related to CryptoPunks occurred on the chain, with a total transaction amount of 3850ETH; two hours later, 0x650d (a new address) purchased almost All cheap Punks, the cumulative transaction volume exceeds 2700ETH.
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Data source NFTGO
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Data source Etherscan
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Data source NFTGO
After this week, the overall popularity and trading volume of Punks has increased significantly compared to before, which also led to a surge in the floor price of the entire NFT industry. But we can know that the popularity of Punks has gradually spread to non-NFT users, and this will be a long-term good news for the project.
Highest price, average price and lowest price
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Data source NFTGO
Top Sales' transaction frequency and price change trend
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Data source NFTGO
The total amount, change and relationship of traders (including buyers and sellers)
CryptoPunks currently has a total of 9999 NFTs in circulation, which are owned by 2829 addresses. There have been 4173 addresses that have participated in Punks transactions in history, among which the number of buyers is more than the number of sellers, divided into 3706 and 2207, showing the overall trend of the market for Punks; 1740 addresses that have traded at least once , accounting for about 41.70% of the total number of addresses.
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Data source NFTGO
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3. HODL: NFT holds data
In the third step, after confirming the underlying logic, existing development scale, liquidity and income range of the project, we need to further examine the status of the project's NFT holders.
The holding of NFT in the project will be analyzed from the following levels:
Total number of token holders - how many people in the market choose to trade these NFTs?
Top Sales’ current and longest holding time—are they short-term speculators who come to make “quick money” or long-term investors who believe in the value of the project?
The number of whales, their holdings and transaction dynamics - what kind of people are they, and what types of NFTs have they invested in? Can we follow their footsteps and obtain other "wealth codes"?
Total holders
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Data source NFTGO
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Data source NFTGO
Top Sales current and longest holding time
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Data source NFTGO
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Data source NFTGO
The number, holdings and transaction dynamics of whales
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Data source NFTGO
Among them, 0xc352b holds the most Punks, holding a total of 430 Punks. Its account also contains 230 Meebits (it can be seen that they are "loyal fans" of Larva Labs), 4 Art Blocks and 1 Crypto Kitties.
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Data source NFTGO
Compared with Holding Value (holding total value list), Whales in Holding Amount (holding quantity list) are more like "winners" in the Punks market today: they are often early players of Punks, and most of the Punks in the account have achieved We can get a glimpse of the appreciation of more than ten times, or even a hundred times, from the historical transaction conditions of its account. Considering that there are often a large number of Punks in their wallets that have not participated in transactions, the potential transaction value of their accounts cannot be underestimated.
Most of the Whales in the Holding Value list are new traders who quickly become giant whales on the list by buying a large number of high-priced Punks. The transaction volume created by them as buyers is often much higher than that created by them as sellers Quantity - They have great hopes for the future of Punks, and they are also very likely to create a higher revenue record in the future.
The address holding the most Punks has realized nearly a thousand times the return, while the realized return of the address holding the highest value of Punks is still negative.
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Data source NFTGO
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4. Coin: project token data
market value, ranking
Trading volume, circulation, circulation
Price trend, transaction status
In the fourth step, for those projects that have issued homogeneous tokens, we can examine their development through the price trend of their homogeneous tokens. Since the liquidity of homogeneous tokens is much better than that of non-homogeneous tokens, there are a group of more cautious investors in the market who enter the market by investing in FT. Since CryptoPunks does not issue its own tokens, we take Decentraland as an example for analysis.
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Data source NFTGO
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Data source CoinMarketCap
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5. Ranking: comparative data between projects
In the fifth step, we can rely on various rankings to evaluate the position of CryptoPunks in the market.
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Data source NFTGO
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Data source NFTGO
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6. Media: project media popularity data
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Data source NFTGO
Currently, Larva Labs, which Punks belongs to, has 48,300 fans on Twitter, and the number of likes on a single tweet is 300 and is still increasing; its official discussion area, Discord, contains more than 25,000 users, and the number of online users remains at 1,000 Level, the daily discussion volume is maintained at more than 100.
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Image credit Larva Labs Discord
The success of CryptoPunks has its uniqueness: as one of the early NFT projects, it first used the ERC-20 format to make the transition from FT to NFT, and also set an example for the operation of many subsequent NFT projects. But its success is also inevitable: With the development of blockchain technology, some people will eventually be unwilling to only trade "cookie-cutter" FT on the chain, and start to make some personalized attempts.
Looking at today's NFT collectibles market, in addition to CryptoPunks, there are also popular items such as Meebits, Bored Ape Yacht Club, Hashmasks, and VeeFriends.
They are the type of NFT most similar to FT: they retain the simple model of C2C, and focus the project on the specific content of NFT rather than project rule setting. In addition, the operation mode of collectible NFT determines that it is scarce and will become more scarce as the overall market grows.
But at the same time, such a setting is very unfavorable to the birth of new collectible NFT: for a new collectible NFT, how should it find its own unique position and discover unique self-worth? How should they find new breakthrough points?
And how do we discover valuable and good projects? With the help of the "ETH-CRM" six-step data rule, I hope everyone can form a systematic project analysis method and enjoy the journey of NFT discovery.
