The 1997–98 NBA season was the Nuggets’ 22nd season in the NBA and 31st season as a franchise. During the offseason, the Nuggets acquired Eric Williams from the Boston Celtics, and Johnny Newman from the Milwaukee Bucks while signing free agent Dean Garrett. However, injures would limit Williams to just four games. At midseason, the team signed free agent point guard Cory Alexander.

The Nuggets set numerous unwanted records during this season. They won only eleven games, the equal third-fewest in an 82-game NBA season with the 1992–93 Dallas Mavericks, and just like the Mavericks were for a long time viewed as likely to beat the 1972–73 76ers record of winning only nine games in a full season, and the 2015–16 76ers, who only won just ten games. After forty games the Nuggets had a 2–38 record (winning percentage .050), a mark equalled only by the 1993–94 Mavericks and they later lost sixteen consecutive games before finally avoiding a possibility of the worst-ever NBA record against the Golden State Warriors on 27 March.

The unfortunate season meant head coach Bill Hanzlik was fired after a single season in charge of the team. Following the season, LaPhonso Ellis signed as a free agent with the Atlanta Hawks, Newman re-signed with the Cleveland Cavaliers, Garrett was traded along with Bobby Jackson back to the Minnesota Timberwolves, and Tony Battie was dealt to the Los Angeles Lakers, who then traded him to the Boston Celtics several months later.

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