A rally in blue-chip NFTs is masking continued weakness across the broader market, where trading activity and user participation have fallen to multi-year lows.

Top collections such as Bored Ape Yacht Club (BAYC) and Pudgy Penguins are leading the advance, with both posting double-digit gains in floor prices — the lowest available listing within a collection. Despite the price strength, the rebound is being driven by a smaller pool of buyers.

Pudgy Penguins’ floor has climbed above 5 ETH, gaining more than 20% over the past week, supported by roughly 200 transactions and close to 1,000 ETH in trading volume. BAYC has seen an even sharper recovery, with its floor rising around 81% over the past 30 days from previously depressed levels.

Floor price trends are often used to gauge demand. Rising floors suggest buyers are willing to pay higher entry points, while falling floors indicate selling pressure. Recent increases signal renewed interest — but largely concentrated in a handful of high-profile collections.

At the market-wide level, participation continues to shrink. Data from CryptoSlam shows global NFT sales volume has dropped to about $175 million in April, down from $304 million in February. Transaction counts and active users have also declined by nearly half over the same period.

Meanwhile, average sale prices have surged, jumping from $30.60 in March to $67.38 in April. This reflects a shift in market dynamics: fewer participants are executing larger trades, concentrating capital into premium assets rather than driving a broad-based recovery.

Demand quality also varies across collections. Pudgy Penguins is seeing relatively healthy transaction flow alongside rising prices, pointing to sustained engagement. In contrast, collections such as CryptoPunks are generating similar volumes with far fewer trades, suggesting that large, isolated transactions are driving price movements.

Other indicators highlight ongoing fragility. Wash trading still accounts for roughly 50% of total volume, according to CryptoSlam, while overall trading profitability remains negative — indicating many participants are still holding losses despite recent gains.

Taken together, the data suggests the NFT market is stabilizing but not yet expanding. Price gains are concentrated, while overall activity continues to decline.

Broader crypto market strength is also contributing to the move. Ether has risen დაახლოებით 18% over the past month, with bitcoin posting comparable gains. Since most NFTs are priced in ETH, part of the rally reflects a wider risk-on environment, lifting blue-chip collections alongside the broader digital asset market