Three Reasons Why NFT Market Is Bound to Rise and Shine

As the DeFi market reached $4 billion in locked value and leading cryptocurrencies started their rally to yearly highs, we might soon see a hockey-stick growth pattern in the NFT space.

Where do NFTs come from?It's no secret that the best thing a project can do during a crypto winter is to build - and that's exactly what the most popular NFT projects of today have been doing during the past two years.

The best entry pointHere, the NFT market finds itself in a win-win situation.

The NFT space has been massively benefiting from all of these technical innovations while serving as a perfect gateway for the new kids on the crypto block.

This is impossible in the NFT market where the value of an object is inseparable from the psychological attraction, so the economic cycles are way more distinct.

What's next?Serving the demand, more gaming companies and other players have been entering the NFT space, attracting the attention of investors, who are searching for the best assets to invest in.

That's why it didn't take long for the NFT market to reach $100 million in total sales - and it will only grow exponentially, given the factors mentioned above.

Unlike DeFi, where user interest and demand are driven by the practical applications and the promise of returns, the NFT market is driven by deep psychological patterns.

In the long run, it would be a great goal to have an NFT "City" in one of the Layer 2 solutions or a shard.

That's another reason why I'm encouraging NFT projects to choose the same Layer 2 solutions.