Floor Price Action

Definition ∞ Floor Price Action describes the movement and stability of the lowest price at which an item within a collection, typically a non-fungible token (NFT), is available for sale. This metric provides a baseline valuation for the entire collection and is a key indicator of its overall market health. Observing its trends helps assess investor sentiment.
Context ∞ In the realm of NFTs, Floor Price Action is a primary indicator for assessing the perceived value and demand for a specific digital collection. News reports often highlight significant changes in a collection’s floor price, as these movements can signal shifting investor interest, market corrections, or the influence of broader crypto market conditions.