MATIC Whales Face Critical Decision
  • Polygon’s MATIC is down 1% over the past seven days, but its Proof of Stake (PoS) network has seen 1 million daily active addresses for 30 consecutive days.
  • Polygon’s DeFi sector unfortunately declined as the total value locked decreased from $1.1 billion to $890 million.

The Polygon ecosystem has demonstrated resilience and sustained growth over the past few months despite declining revenues and a broader bearish trend that saw native token MATIC’s year-to-date growth plummet by 27%. I’ve proven it. One area of ​​growth is daily active addresses.according to reportPolygon’s Proof of Stake (PoS) network has now recorded 1 million daily active addresses for 30 consecutive days.

As interpreted by analysts, this suggests growing interest and usage in MATIC and the Polygon ecosystem as a whole. The main reason for this milestone is Polygon’s high interest shown in his NFT sector. A Crypto News Flash review of Artemis’ data revealed that Polygon’s NFT trading volume has spiked significantly over the past few days, with CyberKongz and Cryptokhat recording significant interest during the period.

A quick look at Polygon’s past performance in NFT trading volume this year reveals nothing but consistency. NFT trading volume reached $10.5 million in January, more than double Solana’s $4.1 million. At the time, Polygon’s increase in inscriptions was associated with a surge in his NFT sales volume.

Polygon (MATIC) price falls despite NFT trading volume boom

At the time of writing, Polygon was ranked third on the list of top-selling NFT collections, behind Ethereum and Bitcoin. Interestingly, Polygon’s performance in the decentralized finance (DeFi) sector is quite disappointing as Total Value Locked (TVL) connected to the network decreased from $1.1 billion to $890 million. In addition to that, the volume of decentralized exchanges (DEX) on the Polygon network has decreased significantly. According to market analysts, users are increasingly turning to alternative platforms for Defi-related activities. As expected, this had a slight impact on his MATIC price movement and failed to “join the post-halving rally.”

Katie Talati, research director at digital asset management firm Arca, linked MATIC’s poor performance to the resignation of former Polygon president Ryan Wyatt.

The second reason for the poor performance is that Polygon’s former president, Ryan Wyatt, left last year to join Optimism as head of business development. Many believe that Wyatt was responsible for a large partnership at his Polygon, and his departure was a huge blow to his Polygon growth efforts.

As of this writing, MATIC is 1% Trading price in the last 7 days $0.73.

Despite the decline, the total number of addresses holding MATIC has increased, with addresses holding between $1,000 and $100,000 worth of MATIC accounting for 7.7% of the total number of addresses held.

Whales’ involvement was confirmed in a recent publication by Crypto News Flash, which revealed the transfer of 1.9 million MATIC tokens ($1.41 million) from the Binance exchange to a decentralized on-chain wallet. This is said to indicate a bullish outlook, with cryptocurrency analyst Ali Martinez also predicting the asset’s price to be $1. However, his prediction is conditional on the asset maintaining strength above $0.87.

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