- Polygon (MATIC) could be interpreted going by these bullish on-chain metrics.
- Adding to investors’ optimism is the growing adoption of the Polygon blockchain.
MATIC, the native token of Ethereum layer two scaling solution side chain Polygon, could be poised for a price explosion going by several bullish market and on-chain metrics.
According to the data from the cryptocurrency data platform Token Terminal, the Polygon blockchain has been demonstrating remarkable performance. In the last 30 days, the network has seen a 185 percent increase in transaction fees collected (earning around $3.37 million during the period).
The network has also seen a 386.6 percent increase in revenue—the share of transaction fees accrued to MATIC holders—in the last 30 days, reaching a value of $1.4 million.
Added to this, the data shows that the number of unique addresses on the Polygon network has continued to grow. The number of unique addresses on the network is at a record high of over 191 million wallets according to data from blockchain explorer Polygon Scan.
Is Polygon (MATIC) severely underpriced?
The increases in these metrics have coincided with several announcements that the Polygon community has welcomed recently, especially in its non-fungible token ecosystem. These include Polygon’s recent partnership with Meta and also with sporting goods brand Nike.
Meta announced that its integration of non-fungible tokens (NFTs) on the social media platform Instagram would be powered by the Polygon blockchain. Nike also announced that it would be building a Web3 NFT platform exclusively on the Polygon blockchain.
Going by historical data, the price of MATIC surged slightly when the announcements were broken to the community. Coupled with the sharp fall in the price of SOL, the embattled token of the Solana blockchain, MATIC has emerged as being ranked among the top 10 cryptocurrencies by market capitalization.
However, the price of MATIC is still yet to experience a sustained bullish breakout despite the growing adoption of the Polygon blockchain, leaving analysts to opine that it is severely underpriced.
According to our price data, MATIC is currently trading at around $0.86, down 3.27 price on the day. This marks a 27.3 percent drop in value in the last two weeks.
Arguably, the tokens surge has been held back by the FTX debacle which has resulted in a cross-crypto market price crash. The benchmark crypto Bitcoin (BTC) is also down around 22 percent in the last two weeks, currently trading at around $16,600.
However, once the market recovers as the market thought leaders, including Binance CEO Changpeng Zhao, are predicting according to a CNBC report.
Short term there’s a lot of pain but long term it’s accelerating the efforts we’re making to make this industry healthier,
MATIC could be among the top gainers. Although, when this surge is expected is not known as the FTX contagion and macroeconomic factors keep the crypto market on its hold at the moment.
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