Ethereum News Today: NFT Market Cap Surges 94% to $6.6B in July as Ethereum-Driven Activity Rises

The NFT market experienced a significant resurgence in July 2025, with its total market capitalization surging 94% to $6.6 billion, marking a sharp reversal from a year-long downtrend. This growth was driven by heightened on-chain activity and substantial price appreciation in high-profile collections, particularly CryptoPunks, which saw a 53% increase in floor prices [1]. The surge reflects renewed institutional interest, as evidenced by a $5.15 million acquisition of a CryptoPunk by GameSquare, underscoring the appeal of blue-chip NFTs in the current market [1]. Weekly trading volumes also rose by 51%, aligning with broader reawakening investor confidence in digital collectibles [3].

Ethereum-based projects dominated the momentum, reinforcing the platform’s role as the leading blockchain for NFTs. Analysts attribute the recovery to speculative demand and enhanced utility for NFTs in sectors like gaming and metaverse applications. Sara Gherghelas of DappRadar highlighted CryptoPunks’ enduring status as “the gold standard of Web3 clout,” emphasizing their role as a symbol of social capital within the ecosystem [1]. Despite the rally, the $6.6 billion valuation remains below the all-time highs of 2022, suggesting the market is still in a developing cycle.

The resurgence has sparked debates about the sustainability of NFT valuations. While proponents point to diversified use cases and maturing secondary markets as signs of long-term resilience, critics caution against macroeconomic vulnerabilities. For instance, a recent 12-day inflow streak in Bitcoin ETFs ended with a $131 million net outflow, illustrating the interconnected risks in digital asset markets [4]. However, Ethereum’s prevalence in hosting flagship NFT collections and the strategic focus on sustainable engagement models provide a counterpoint to these concerns.

Key players like CryptoPunks and Pudgy Penguins are positioned to influence future trends, with their performance closely tied to Ethereum’s ecosystem. Jason Yanowitz of Blockworks noted that NFTs are evolving with “treasury vehicles on the horizon,” hinting at potential structural innovations [1]. The market’s trajectory will depend on balancing speculative enthusiasm with functional advancements, as well as macroeconomic stability.

Sources:

[1] [AInvest: Ethereum News Today – NFT Market Cap Surges 94% to $6.6B in July](https://www.ainvest.com/news/ethereum-news-today-nft-market-cap-surges-94-6-6b-july-cryptopunks-lead-recovery-2507/)

[2] [AInvest: NFT Market Surges on Ethereum: $6.6B Cap, 94% July Jump](https://www.ainvest.com/news/ethereum-news-today-nft-market-surges-ethereum-6-6b-cap-94-july-jump-cryptopunks-floor-price-rises-53-2507/)

[3] [TradingView: NFT Market Cap Surged to $6.6B in July: DappRadar](https://www.tradingview.com/news/cointelegraph:d4570e4a4094b:0-nft-market-cap-surged-to-6-6b-in-july-dappradar/)

[4] [CoinCentral: Ethereum ETFs Hit $10 Billion Milestone as Institutional Demand Surges](https://coincentral.com/ethereum-etfs-hit-10-billion-milestone-as-institutional-demand-surges/)