Last updated on March 9th, 2022 at 02:47 pm
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How to flip nfts and make money from nfts as a collector on different top platforms.
You must have been conversant with the trend on NFTs and how celebrities and different individuals make money buying NFTs at insane prices in dollars.
The budding NFT market ( non-fungible tokens) has had its best year on record, generating over $23 billion in trading volume a skyrocket increase from less than $100 million recorded last year, according to data from DappRadar.
Now, the NFT trend is still very much on, and we are seeing random Twitter users and celebrities flipping artworks for thousands of dollars. Although you may not sell for that much like they do, the good news is that you can also flip as according to your worth. Let’s get started.
Also Read: Don Jazzy Makes $300k in Ten Minutes NFT Sale.
What is Flipping?
Flipping is a crypto common term for buying items at low prices and selling quickly for a profit. The term has been used since the days of flipping trading cards, toys, and comics for profit. Its currently common with real estate property flippers, ‘property flipping.’ It’s now an extensive term in the NFT space known as ‘flipping nfts.’
Why Flip NFTs?
Just like you do with property flipping on real estate, you can only flip valuable stuff. NFTs have proven to be a valuable asset and property. While risky, flipping NFTs is a relatively fast way to boost your portfolio.
Generally, individuals buy assets that they seem to be undervalued and they expect the price increase in value. Similar to the way we analyze financial market, making profits requires analyzing crucial metrics to make the best possible decision.
There are different factors to be considered to determine how well to flip NFTs. These cuts across niches and there are common NFT niches. They include; animal-themed art, abstract paintings, music, trading cards, collectibles, domain names, or even virtual pieces of land.
Among other factors, five key metrics primarily determine how well an NFT project will do. These are:
Number of Items: scarcity always drives demand up, that’s a simple economics. NFT projects with a limited quantity of items are much likely to give you profit.
Floor Price: floor price means the least price you buy the nft. You want to look for items with low floor prices and minimal supply and buy in early.
Volume: Making profits in any market is strongly reliant on liquidity. You will want to dive into platforms with high trading volumes. The usual benefit here is that you will quickly see collectors willing to buy your items.
Niche: You want to buy into the top niche, the current trending niche or the potential niche to trend. You look out go know whether the project falls under the niches listed above or niches that will potentially grow to become a top niche.
Platform: Platforms also suggests how well the NFT project is ready to grow. Projects on Ethereum, Solana or BSC already is a top priority for collectors.
Where to Spot NFT Projects:
Special sections on NFT platforms
NFT platforms always try to organise the sections on it’s platforms. These sections shows different categories of nfts. From there you will know the hottest nfts.
The most expensive ones and it’s supply details. The Rankings and Activity pages on OpenSea also provide some insight into potentially great projects.
Social Media
Thanks to social media, most especially Twitter. You probably already know that artists and known NFT influencers often announce new projects on these top platforms; Twitter, Reddit, Telegram, Discord, and Instagram. Keeping tabs on their pages is a good idea.
