Bitcoin’s trend has been bearish since pulling strings to reach an all-time high of $68k. Following a succession of lower highs, the flagship asset has dropped to $41k. ETH, on the other hand, has remained stable at 3.1k.
The crypto environment is dynamic, and it appears to be a significant shift in market mood. Altcoins are equally as risky as Bitcoin, but they’ll either ride or perish in the long run. The cryptocurrency market normally has a much higher return when there are decent corrections.
With 15.49 percent drop in the last seven days, Polygon’s MATIC was trading at $2.20 at press time.
Despite MATIC’s recent drop and the fact that most of the leading cryptos are in the red, experts and professionals have their own motives to be hopeful.
On December 27, 2021, the MATIC price hit a record high of $2.93, which is also the all-time high. The demand zone was ripped apart by a big correction that stretched from $2.43 to $2.63, turning it into a breaker.
Polygon is trading between the 50-day and 100-day Simple Moving Averages (SMAs) of $2.19 and $1.91, down 27% from its all-time high. MATIC price has bounced off the $1.94 weekly support level and is currently moving toward the 50-day SMA, implying a 10% increase to $2.35 is probable. Polygon may retest the breaker at this price, bringing the overall gain to 13% by moving from $2.43 to $2.63.
MATIC Price Eyeing To Hit $10
Lark Davis, a crypto influencer, didn’t spare any time in stating that MATIC would reach $10, no matter what. Davis made it apparent that he was positive about MATIC, citing “ridiculously low” gas expenses, great speed, and the backup and restore solutions Polygon bought.
Polygon processed about one billion transactions last year, according to the network’s own annual report, and facilitates 2.5 times more transfers than Ethereum. According to the report,
“Polygon’s low-cost ecosystem (avg. $0.028 per transaction vs. Ethereum’s avg. $21 per transfer of funds) opens up a whole new range of user behaviour.”
Polygon is reaching new height
From late December onwards, we can see an increase of unique Polygon users in Dune Analytics. Furthermore, for two days in a row, the number of unique users surpassed 100k. This arose about 90 days ago, well before the December 4th disaster. In a nutshell, this is a positive indication for Polygon.
On the other hand, figures reveal that average petrol fees have risen in Polygon. The NFT-based application Sunflower Farmers has been blamed vehemently for the unexpected increase in early January. While Polygon’s gas rates are still significantly lower than Ethereum’s — and appear to be declining again – MATIC’s bullishness in 2022 will most likely be determined by Polygon users’ network experiences.
Solana Vs Polygon
Customers incorrectly believe Solana is the second most popular smart contract platform, according to analyst Spencer Noon. Crypto is a competitive field, as proven by analyst Spencer Noon’s observation that customers wrongly believe Solana is the second most popular smart contract platform. According to Noon, the right answer was Polygon.
Sandeep Nailwal, one of Polygon’s co-founders, naturally agreed. He also underlined the role of US marketing in enhancing Solana’s image. Polygon has surpassed Solana in terms of unique visitors and active developer teams, according to Nailwal.
Polygon is responding to these changes by launching a number of high-profile and intriguing initiatives. Aave, the DeFi protocol, OpenSea, the world’s largest NFT marketplace, and the Sandbox metaverse platform are among them.
Finally, Davis talked about the Polygon EIP-1559 upgrade, which will be available on the Mumbai testnet. All of Ethereum’s features, including the possibility to burn tokens, will be available after the upgrade.