Polygon Surpasses Ethereum in Key Metrics: Gas, User Activity
  • Polygon has surpassed Ethereum in terms of total users and transaction costs.
  • The Polygon ecosystem has seen compelling adoption of core tools such as CDK and zkEVM.

Polygon (MATIC) is currently making a lot of noise in the cryptocurrency market, surpassing Ethereum (ETH) in terms of user activity and gas usage. Activity on the network is skyrocketing, attracting users with its lightning-fast transactions and low fees.

Polygon rises to the top

Polygon has been gaining traction when it comes to daily transactions, even outperforming the underlying blockchain giant Ethereum. Report by Crypto News FlashThe number of active users is approaching 10 million, and the growing popularity of the Polygon network is driving a surge in activity.

While this user migration may slow down Ethereum’s growth, it’s important to remember that the two are not rivals. Rather, Polygon is a layer-2 solution for Ethereum, like an extension cord, making the network’s user experience smoother. In the long run, a thriving Polygon ecosystem could benefit Ethereum, as it would enable Ethereum to process more transactions.

Despite the network’s success, Polygon’s native asset, MATIC, has yet to reflect that growth. The token dropped in early June, signaling a period of selling pressure. On-balance volume (OBV) indicates more selling pressure than buying pressure.

However, positive Chaikin Money Flow (CMF) suggests that some funds may still be flowing in despite low trading volume. This could suggest that large investors (whales) are accumulating MATIC despite the short-term dip. Additionally, Santiment data shows increased accumulation by addresses holding small amounts of MATIC (0-100 coins), suggesting that retail investors are viewing the price dip as a buying opportunity.

At the time of writing, MATIC was trading at $0.6449slightly decreased 0.2% Its market capitalization has reached $6.38 billion over the past day.

Nevertheless, trading volume 31% increase The deal reached $399 million, signaling growing optimism among Polygon investors.

Polygon is DeFi’s sweetheart

While MATIC struggles to rise in price, the Polygon blockchain has been shining in the decentralized finance (DeFi) space, with its Proof-of-Stake (PoS) system, zero-knowledge Ethereum Virtual Machine (zkEVM), and Chain Development Kit (CDK) becoming increasingly popular tools for DeFi developers.

These features have attracted new projects to the Polygon network, making it a platform for innovation in the DeFi space. Previous coverage by Crypto News FlashAave, QuickswapDEX, Balancer, Azure Protocol, and Polymarket are some of the dApps developed at Polygon.

Meanwhile, Polygon officially announced the launch of EURC (EURC.e) on zkEVM in April. Polygon’s zkEVM is expected to create a scalable and secure blockchain solution for Circle’s EURC.

As previously reported by Crypto News FlashThe zkEVM reduces transaction costs and increases throughput, in addition to ensuring that Ethereum’s base layer security is available.


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