Ethereum’s Layer-2 scalability platform, polygonal, has been on a roll. Polygon’s native cryptocurrency MATIC has been the best performer in the altcoin space, with an increase of more than 60% during the last week.
At press time, MATIC is trading 15% higher at a price of $0.90 and is targeting an immediate target of $1.0. With the recent price hike, MATIC has also expanded its monthly profits by close to 150%.
MATIC price skyrocketed when Disney chose Polygon for its Accelerator Program last month. The show will focus on augmented reality (AR), artificial intelligence (AI) characters, and non-fungible tokens (NFTs). However, Polygon’s role is unclear for now, as more guidance will be provided by Disney in the future. But the news itself seemed to have made investors even happier.
Read more : Polygon Becomes Only Blockchain Selected to Participate in 2022 Disney Accelerator Program
On-chain data provider Santiment noted that Polygon’s address activity has been picking up fairly quickly recently. He added:
Altcoins spent the first half of 2022 seeing market cap gains quickly wiped out. However, projects like $MATIC have made up for some of their losses quickly, jumping 63% in a week. Address activity is also increasing, showing an intriguing divergence.
Optimism around Polygon (MATIC)
Ethereum’s Layer-2 scalability solution has recently been working on some key developments. While MATIC did weather the heat of the crypto market crash last quarter, it also quickly bounced back. Furthermore, market analysts have been projecting optimistic forecasts for MATIC, which has led to increased investor confidence.
As a result, MATIC is riding the strongest wave among other altcoins during this market rally. Secondly, Polygon has been capitalizing on some of the recent events in the market.
The collapse of the Terra ecosystem left several good quality projects in a state of uncertainty. This is where Polygon introduced a new fund to help Terra-based projects migrate to the Polygon blockchain network. Until now, More than 48 Terra projects have successfully migrated to the Polygon blockchain network.
On the other hand, the number of protocols decentralized finance (DeFi) in Polygon it is also increasing. As a result, the demand for MATIC tokens increases simultaneously. The Total Value Locked (TVL) across all DeFi protocols on Polygon is currently $1.76 billion.
On the other hand, Polygon is likely to announce its major release in three days. In his recent Twitter post, Polygon co-founder Mihailo Bjelic, wrote:
When we started @0xPolygon, the Ethereum community embraced us. That allowed us to onboard 30,000 apps and 150 million users and become a giant among scaling efforts and alternative L1s. We made a promise to stay committed and give back to Ethereum. In 3 days, we are fulfilling that.