Traders expect 200% upside from MATIC, but does Polygon network data support that?

1 year ago

In the past year, Polygon (MATIC) has focused connected increasing their database of high-profile partners which includes luminaries similar Disney, Starbucks and Robinhood. The caller announcements of partnerships with some Instagram and JPMorgan person speculators pushing the token terms up astir 200%.

In addition to partnerships, blockchain adoption done web usage is important to analyze. Blockchain adoption tin beryllium analyzed by looking into regular progressive users of the blockchain, protocols utilizing the technology, fig of transactions and full locked value.

Total worth locked connected Polygon rises supra $1B

Total worth locked (TVL) is 1 cryptocurrency indicator utilized to measure the market’s sentiment towards a peculiar blockchain. TVL connected Polygon requires utilizing the MATIC blockchain and locking funds successful the assorted DeFi platforms disposable crossed the network.

Rising TVL is simply a motion of growth, oregon caller liquidity entering the ecosystem but it does not needfully mean that the web and associated assets are “turning bullish.”

While the apical 3 protocols, Ethereum (ETH), Binance Coin (BNB) and Tron (TRX) each person a TVL implicit $5 billion, MATIC, Avalanche (AVAX) and Arbitrum are the lone others with implicit $1 cardinal successful TVL.

According to information from Token Terminal, Polygon and Fantom (FTM) are the lone blockchains to station affirmative TVL numbers successful some 1 time and 7 time metrics.

Top 3 protocol blockchain for developers

Protocols are fundamentally decentralized applications (dApps) built utilizing astute contracts connected apical of nationalist blockchains. The recently announced partnerships person beryllium tested but person not yet afloat launched.

Even if the caller partnerships bash not afloat materialize, the web is already a apical contender for developers to physique their astute contracts.

Polygon is simply a newcomer erstwhile compared to Ethereum. So though Ethereum has much protocols than Polygon, Ethereum launched mainnet with a 5 twelvemonth caput start.

Polygon’s astronomical maturation successful protocols launching connected their blockchain is notable due to the fact that according to TokenTerminal’s data, Ether’s marketplace headdress dominates MATIC 90% to 10%.

Polygon sees an uptick successful fees and regular progressive users

In summation to Polygon’s terms increasing 12% successful the past month, the network's regular fees and regular progressive users person grown by 200% since August 5 lending credence to the Cointelegraph prediction.

On August 5, Polygon collected $42,093 successful fees and had 248,853 regular web users. By October 13, the network’s regular progressive users peaked astatine 737,815 pursuing the success of the Reddit NFT avatar launch. Following connected October 25 the web deed a 90 time highest of $131,940 successful regular fees.

When comparing the on-chain enactment and investigation with the caller MATIC rally, the information suggests that speculation connected the concern quality matches the fundamentals.

While it is simply a agelong to forecast a 200% imaginable summation successful MATIC maturation by lone utilizing method analysis, Polygon’s web maturation and regular progressive idiosyncratic stats are encouraging.

The fig of transactions and TVL could beryllium a motion that web fundamentals align with the expectations of method analysts. MATIC’s spot versus competing chains, portion inactive being lone a fraction of Ether and BNB’s marketplace headdress is rather bullish for its semipermanent maturation prospects.

The views and opinions expressed present are solely those of the writer and bash not needfully bespeak the views of Cointelegraph.com. Every concern and trading determination involves risk, you should behaviour your ain probe erstwhile making a decision.

View source