What Is Relation of Ethereum and NFTs?
Anyone interested in the Crypto Exchange is more or less familiar with Ethereum. It is obvious that it has recently made a splash through NFTs. So what is the special relationship between Ethereum and NFTs? Let’s take a look at the answer to this question.
What is the Impact on ETH and NFTs?
Ethereum has played a huge role in the growth of NFTs recently. While it received a lot of attention throughout July 2021, NFTs took the ecosystem by storm. The question now is “Are NFT prices falling with ethereum?”. When we examine closely, there was a dependent increase between NFTs and Ethereum before Ethereum came to $ 2000. On the other hand, NFT sales started to decrease when Ethereum rose above $2000.
So, Ethereum is needed to be bought first in order to buy NFT on ETH-based NFT sales platforms. The situation is becoming such that during the price rally of ETH, NFTs are not re-pricing on the basis of ETH, so they become too expensive to buy if you are not already in possession of Ethereum. So it can be observed that there is a direct link between NFT and Ethereum prices and since the Ethereum is primary currency of NFTs, seems like they will always depend with each other.
Questions Answered by the Blog:
- What Is Ethereum (ETH) Relation To NFTs?
- What is the Impact on ETH and NFTs?