1.1 Million daily users on Polygon: MATIC’s next move?
  • Polygon was the sixth largest chain in terms of total stablecoin supply.
  • Whales have shown lukewarm interest in MATIC.

polygon [MATIC] The chain is seeing increased user participation and liquidity injections in 2024, and the broader market is taking notice.

Polygon increases stablecoin supply

As of this writing, Polygon’s stablecoin market cap has reached nearly $1.5 billion, marking an impressive 18% year-to-date (YTD) growth, according to DeFiLlama data analysis by AMBCrypto. At the time of this writing, it was the sixth largest chain by total stablecoin supply.

Polygon Stablecoin Market Capitalization

Source: Defilama

Stablecoins can be interpreted as the on-chain equivalent of cash in traditional financial markets. A high market capitalization for a stablecoin indicates a large pool of liquidity, making it easier to trade on-chain, thereby making the market more efficient.

Having said that, current levels are still far from the peak recorded in July 2021. In fact, Polygon’s next target should be $2.6 billion, the pre-bear market level achieved in September 2022.

Best performing ETH scaling solution

The rise in stablecoin market capitalization comes along with an impressive surge in user engagement on the network.

According to a study of Artemis data by AMBCrypto, the PoS chain significantly outperformed other scaling networks in daily active addresses and transactions in 2024.

Polygon network activity

Source: Artemis

For example, on March 26th, Polygon PoS had 1.1 million daily active addresses, more than three times the number of the second-ranked chain on the list. A similar trend was evident regarding the number of transactions.

Would the whales be interested?

According to , the chain’s native token MATIC has risen by 1.73% in the past 24 hours, with an increase of over 11% in the past 7 days. coin market cap. MATIC’s performance was in line with the broader altcoin market report card.Cryptocurrencies are up 12% year-to-date

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Interestingly, this rise was not built up by whale accumulation. AMBCrypto leveraged Santiment to highlight a sharp decline in whale trade in 2024.

Furthermore, the holdings of these influential investors remained flat during this period, suggesting low whale involvement.

polygon whale

Source: Santiment

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