One of the top layer-2 scaling options for Ethereum, Polygon (MATIC), has shown to be a strong contender, and its on-chain metrics point to a possible massive surge in the near future. In January of 2024, Polygon added 15.2 million new members in spite of price swings in the fourth quarter of 2023. This might be a promising start to the company’s future.
Polygon’s current market snapshot
According to the most recent CoinMarketCap statistics, Polygon is currently trading at $0.7921, up 1.49% over the previous day. With a market capitalization of $7.6 billion and a market domination of 0.38%, the 24-hour trading volume is $215.6 million.
Notably, based on its sizeable market capitalization, MATIC has strong liquidity and is trading above the 200-day Simple Moving Average, indicating a favourable trend.
It becomes more credible that Polygon may rally when the technical details are taken into account. MATIC is now approaching a significant support level, a pivotal point that may dictate the course of its destiny. Many traders view this support level, which is fixed at $0.75, as a make-or-break moment. In the past, it has supported buyers and acted as a springboard for further increases.
Numerous touches over the previous few weeks have demonstrated this support’s tenacity, each time preventing a breakdown. Although a persistent break of this support would indicate the start of a long-term bear market, the state of the market right now and the volume decline imply that the negative momentum may be waning rather than increasing.
Polygon’s past performance and milestones
Apart from the technical indications, Polygon has shown impressive performance, with a price increase of 8.10% in the previous month.
This increase was in line with the general market trend of cryptocurrencies hitting all-time highs. As previously reported, on January 11th, MATIC reached its highest value of $0.93, overtaking Chainlink in market capitalization and claiming the 13th position among the most valuable projects available.
In addition, the market for stablecoins on Polygon has grown significantly, hitting a six-month high of $1.4 billion. The network’s increasing transaction activity is reflected in this spike. For those looking for chances in the blockchain space, the project is still one to keep an eye on as it grows.
Consistent updates across the board and strong corporate relationships reinforce the whole growth trend.
