- The MATIC/USDT pair added 17% gains in the last 24 hours.
- Polygon PoS chain’s 1 billion transaction milestone triggered MATIC’s bullish price action.
- A bullish technical setup points to further gains for Polygon’s native token
BENGALURU (CoinChapter.com) – MATIC’s bulls attempted a v-shaped recovery by pumping the token up by 17% in the last 24 hours. Polygon’s native blockchain asset had encountered a brief correction after rallying to $1.86 on the back of fundamental development. But aggressive buyers reignited the token’s bullish sentiment amid the popular Ethereum layer-2 scaling solution processing 1 billion transactions.
With the latest upside move, MATIC cleared past multi-month resistance barriers. Even discovering a major double-spending vulnerability in the underlying network’s Plasma bridge didn’t deter bulls from going all out with their long bets on the cryptocurrency.
Related: Even a hacked Polygon may not stop MATIC from pursuing a 90% price rally
Polygon Processed 1 Billion Transactions
Polygon continues to set new records as an Ethereum network amplifier. The most significant reason why the network witnessed exponential growth in traffic is that transactions are incredibly cheap. Also, why since its inception, the Ethereum layer 2 solution has processed 1 billion transactions.
Active addresses on the network in the last week were highest in the last 3 months. Recently, the network overtook Ethereum itself on the daily active addresses front. Also, surging NFT activity is one of the predominant pointers that led to Polygon experiencing astounding growth.
Related: MATIC climbs 10% as Polygon overtakes Ethereum for active wallet addresses
“…NFT growth on Polygon continues to explode.
Expanding on last week’s analysis:
OpenSea, Sept. vs Aug.
+123.8% NFTs sold (+146.15% proforma)
+73.95% Active traders (+91.34% proforma)
-17.12% Volume (-8.83% proforma)…”
Twitter-based MATIC fundamental analyst Raphael observed in September.
Plus, developer activity is also on the rise. In the last year, the network logged a 100X growth in dapps (from 30 to 3000). The number of teams building on the network appreciated by over 61% over the last month.
Technical Setup
Sellers took over MATIC’s market scenario after the token logged the $1.94 local top. The drop is in line with the aggregated cryptocurrency market’s ongoing momentum. But the overall trend remains bullish. The MATIC/USDT has been consistently posting higher lows since the beginning of October.
If the selloff continues further, chances of Polygon’s native token correcting to $1.35 (near the 50-day moving average) remain. However, considering the trajectory, buyers could join back again, reinstating bullish sentiment. Thus, the probability of the layer 2 token continuing its weekly upside path is pretty high—all the more due to the relative strength index (RSI) holding acceptable levels.
As buyers wait and watch for potential entry points, the next price target falls at $2.1. Reclamation of the same will open the doors towards $2.7, MATIC’s previous all-time high.
