Trades and Trends by Altan Insights: April 24, 2021
Join Altan Insights as we highlight trading activity across the various alternative marketplaces with a combination of charts and penned analysis to help investors track trends and price movements that impact their portfolio.
This week, Rally featured 20 assets on their secondary market. The 2004 Panini Lionel Messi Rookie Card (BGS 9.5) led the Tuesday session, gaining 20% overall. Entering the day the card had a $45,000 market cap and was trading at $5.00 per share. Recent auction activity provided a potential catalyst, with Goldin Auctions selling a card with the same grade on March 6th for $91,200 (with 20% buyer’s premium). The Messi card settled at a new market cap of $54,000 or $6.00 per share. Video games and comic books both struggled as the 1985 NES Ice Climber (WATA 9.0) nearly cut its valuation in half and the 1963 Marvel Avengers #1 dropped 43%. Investors were also liquidating the only liquid asset trading this week, with the 2003 La Tâche sinking 40%. The wine actively trades on Liv-Ex, the largest merchant for global wine sales, and has traded above $79,000 all year but currently sits at a $46,800 market cap on Rally.
Thursday brought more red to the Rally trading floor and was the first session since February 16th that no asset traded positively. The Apollo 11 Control Stick experienced the biggest sell-off, dropping 58.58%. Sports cards held their ground in the volatile day with the 1951 Gordie Howe card dipping 10.56% but the 1939 Ted Williams and 1909 Ty Cobb T206 cards closing the session unchanged.
Only one asset class closed with a positive week- sports cards which gained an average of 1.57%, driven primarily by the 2004 Messi. Memorabilia performed the worst with only the NASA control stick representing the sector. Video games were the top-performing asset class last week when the 1985 Super Mario Bros. gained 38.31% but this week the sector struggled, falling -41.36%.
The Babe Ruth & Lou Gehrig signed ball led for the week on Collectable for the second time in three weeks, gaining 6.03% overall. Out of the assets that have completed a full week of trading, four increased their market caps during the week with two new offerings dropping the most. The Emmitt Smith MVP Trophies and the Zion Williamson RPA dipped -37.50% and -28.75% respectively. The Emmitt Smith trophies did manage to close the week on a positive note, gaining 8.7% on Friday.
The top four performing assets on Collectable all receded slightly this week. The 1979 O-Pee-Chee Wayne Gretzky jumped into second place overall after the 2007 Chrome Kevin Durant card decreased -9.32%. The Gretzky card has a pending buyout and did not strike a price on Friday as trade matching was halted.
Four assets did not complete a full week of trading but two still stood-out with impressive gains in their first days on the secondary market. The 1952 Topps Mickey Mantle jumped 70% in its first trading session on Tuesday and closed the week up 54%. The card currently has a $746,900 market cap while Goldin sold an example with the same grade for $861,000 at their March Premium Auction. The 1954 Ernie Banks returned 26% in its first trading appearance. Investors rejected a buyout offer for the Bank rookie on March 14th that would have represented a 62% ROI.
Note: Otis weekly data is calculated from Saturday-Friday
Three art pieces set the pace on Otis this week as CHROMADYNAMICA MSS by Felipe Pantone gained 66.25%. Six of the top ten performers this week were artworks. The NES game ‘Golf’ (WATA 9.8) experienced the biggest drop, losing -37.50%. Two other video games, Pokémon Yellow and Zelda II also decreased double digits, falling -19.92% and -14.50% respectively.
Art led all asset classes on Otis, increasing 10.12% as a sector. While it is the first time this month that art has finished as the best performing asset class on Otis, it’s the third consecutive week the sector has closed positively overall. The sell-off in sports memorabilia was driven by a single asset- Michael Jordan AJ1 Player Exclusive “TYPS” (Rookie Signed). Video games continued to struggle and over the last two weeks the sector has dropped -12.5% on average.
Mythic Markets opened trading this week and turned in an impressive first day of returns. The Magic Booster Box, which consists of five sealed boxes of the earliest Magic cards, gained 136.36%. The other Magic-related asset, the Alpha Black Lotus card closed 37.78% higher while the lone comic book, Fantastic Four #1 increased its valuation by 60.94%. These assets will return to the Mythic trading floor on May 20th for their second session.
Disclaimer: You understand that by reading Altan Insights, you are not receiving financial advice. No content published here constitutes a recommendation that any particular security, transaction, or investment strategy is suitable for any specific person. You further understand that the author(s) are not advising you personally concerning the nature, potential, value or suitability of any particular security, transaction, or investment strategy. You alone are solely responsible for determining whether an investment, security or strategy, or any other product or service, is appropriate or suitable for you based on your investment objectives and personal financial situation. Please speak with a financial advisor to understand if the risks inherent in trading are appropriate for you. Trade at your own risk.