What is the Floor Price in the NFT world?
The name itself is pretty self-explanatory and refers to the minimum price that represents the cheapest NFT in a collection. Sometimes people also use the term Entry Price, which technically means the same as floor price.
To make this easier to understand, imagine an NFT collection of hoodies belonging to the same brand. When you go to that brand’s store, you will have many different options to choose from.
However, some of the hoodies from that same brand are rarer and have different unique attributes. Therefore, not all hoodies are priced the same, even if they serve the same purpose. This is the same with NFTs from the same NFT collection.
Therefore, the Floor Price represents the cheapest hoodie of the brand you like, just as it represents the cheapest NFT of the collection you are interested in.
At the time of writing this guide, the lowest price for Bored Ape Yacht Club is 98 Ethereum or what is the same as $302139.88. Although we must always take into account the volatility of the crypto market.
Why is the minimum price important for NFTs?
Unlike fungible tokens such as ETH or BTC, NFTs are non-fungible tokens that represent assets with unique properties, so each will have a different price.
The concept of minimum price will become increasingly relevant to NFT world, as it allows to easily find the lowest price in a collection.
As expected, AMM’s liquidity provision services through ERC20 index tokens and lending services that allow the use of NFTs as collateral will also drive the concept of minimum pricing in the industry.
The usefulness of the minimum price term is intimately tied to the level of granularity it provides with respect to the data for each collectible set or cryptocurrency drop.
Be aware that for certain NFTs, with abundant series and subsets, presenting a general floor price is not as useful as for those that are more homogeneous.
Where can I see the Floor Price of an NFT?
Now that you know what the term floor price means in the NFT world, you may be wondering how to find out the floor price of a given collection.
And it is very easy as there are tools that are specifically dedicated to calculating both the floor price and other interesting metrics for most collections.
NFT Price Floor
The NFT Price Floor portal is one of the pioneers in this sector, innovating to the point of launching a new metric called Floor Cap.
On the page, in addition to finding the minimum prices of almost any collection, you can see the prices in both Ethereum and dollars.
In addition, it separates the collections into several categories such as: metaverse, avatars, art or derivatives. If we access any of the collections, detailed data will be displayed in a graph on what have been their minimum prices since the date range that we indicate.
CoinGecko
If you come from speculating with cryptocurrencies, surely you have heard of CoinGecko. It is one of the most popular and visited price trackers in the world.
It has recently added a section where you can check the base price of 157 collections extracted from OpenSea.
It is a great alternative to NFT Price Floor, the latter being superior in both interface and data provided.
NiftyPrice
Although NiftyPrice is the tracker with the largest number of collections listed, I think that both the interface and the data can be improved in terms of accuracy and aesthetics.
In addition to classify them by Top mover (with more movements in 24h), you will also find them in order of Floor Cap, which is the equivalent of market capitalization.
In short, the floor price or entry price serves to determine the lowest value of an NFT of a particular collection. We can use it to our advantage and save time by avoiding those collections where the floor price is too high and beyond our possibilities.
It can also indicate the success of a collection. But be careful, as the price of cryptocurrencies is quite volatile and what today may be a price floor of 80 ETH tomorrow may be 100 or 60.
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