NFT Market Surges 94% to $6.6B in July as Blue-Chip Sales and CryptoPunk $5M Sale Drive Resurgence

The NFT market experienced a significant resurgence in July 2025, with the total market capitalization surging 94% to $6.6 billion and weekly trading volumes spiking 51% to $136 million [1]. This marked the highest levels since early 2025, reversing a trend of consecutive quarterly declines. Blue-chip NFT collections led the revival, with average prices jumping 40% in seven days to reach $146, while sales increased modestly by 7%, reflecting a shift toward high-value assets [1].

CryptoPunks, one of the earliest NFT collections, emerged as a standout performer, with floor prices rising 53% and a $5 million sale of a single CryptoPunk reinforcing their status as Web3’s premier collectibles [1]. Pudgy Penguins also gained traction, surpassing the Bored Ape Yacht Club in market capitalization, with floor prices surging 539% since their initial mint. The collection expanded into physical merchandise, including plush toys, which bridged Web2 and Web3 experiences and enhanced real-world utility [1].

Moonbirds and Art Blocks also saw notable recoveries. Moonbirds’ trading volume skyrocketed 600% following a partnership with Towns and acquisition by Orange Cap Games, while Art Blocks’ average sale prices surged 156% after introducing new collector features and platform upgrades [1]. Profile picture (PFP) NFTs dominated 37% of total volume, signaling a return to speculative demand for status-driven assets.

The broader market context revealed a challenging Q2 2025, where trading volumes plummeted 80% year-over-year to $823 million, leading to the shutdown of multiple NFT platforms and a 97% collapse in the NFT lending market [1]. However, recent developments, including regulatory clarity and blockchain innovation, have reignited interest. The SEC’s confirmation that many NFTs, including those with royalty mechanisms, do not qualify as securities has provided legal reassurance [1]. Additionally, the Ninth Circuit Court of Appeals’ ruling affirmed NFTs as trademarkable goods under the Lanham Act, further legitimizing their role in commercial markets [1].

Telegram’s TON blockchain also played a pivotal role in the revival. Snoop Dogg’s NFT collection sold $12 million worth of assets within 30 minutes, while the TON NFT market cap reached $200 million. Projects like Crystal Eagles and Statues of Liberty sold out rapidly, demonstrating the platform’s growing appeal [1]. Telegram founder Pavel Durov’s announcement of upcoming blockchain minting and secondary market features added to the optimism [1].

The market’s shift toward high-value, blue-chip assets contrasts with previous volume-driven activity. This trend aligns with historical patterns where PFPs and art categories lead recoveries, with fewer trades at premium prices driving growth [1]. While sectors like sports, music, and fashion NFTs struggled to gain momentum, gaming NFTs showed a slight cooldown after strong Q2 performance.

The revival underscores a broader transformation in NFT dynamics. Blue-chip collections, regulatory clarity, and blockchain innovation—particularly on platforms like TON—have created a foundation for sustained interest. However, the market remains volatile, with past declines highlighting the need for caution. As NFTs re-emerge, their ability to deliver real-world utility and maintain legal clarity will be critical to long-term adoption [1].

Source: [1] [NFT Market Cap Surges to $6.6B in July as CryptoPunk Sells for $5M – Are NFTs Back?] [https://cryptonews.com/news/nft-market-cap-surges-to-6-6b-in-july-as-cryptopunk-sells-for-5m-are-nfts-back/]