Polygon (MATIC): the price is skyrocketing
The price of Polygon’s MATIC token has taken off in recent days.
MATIC debuted on the crypto markets in April 2019, but until February 2021 its value had not yet exploded.
Everything changed, suddenly, starting on 5 February, when it tripled in value in about a week, going from $0.04 to $0.13.
After a very brief lateralization, it started to grow again, reaching $0.24 at the beginning of March.
At that point, the price had already increased tenfold since the beginning of the year, but the race did not stop.
In fact, after another very brief period of lateralization, the price touched $0.5 on 12 March.
Until 25 April there was another period of lateralization, but from the following day, onwards another powerful growth was triggered, which today has led it to record a new all-time high at $2.17. In other words, over the last 30 days, the price has risen more than tenfold.
This means that in the last 30 days the growth has been over 400%, while in the last 12 months it has been over 10,000%.
What is Polygon and why has MATIC grown vertically?
The thing is, Polygon is one of the solutions being used to try and make transactions on the Ethereum network faster and cheaper. With the cost of gas for transactions on Ethereum being a real issue lately, it’s not surprising that Polygon has had this huge success.
For example, DappRadar points out that in the last 7 days alone Polygon has attracted over 75,000 active users, with 900 million dollars traded on its second layer.
In the last 4 weeks, the number of dApps using Polygon monitored on DappRadar has grown from 61 to 93, and 46 of these fall into the DeFi and Exchange categories.
In fact, it is precisely the DeFi protocols and decentralized exchanges that are driving Polygon’s success, enabling much faster and cheaper transactions for their users.
Second-layer solutions, such as the Lightning Network on Bitcoin, eliminate the problem of excessive transaction costs by avoiding the need to register transactions on the blockchain. This is why they can be so effective in dramatically lowering fees.
In light of this, it is perfectly understandable that the MATIC token is enjoying a sudden and resounding success, given that Polygon has only recently begun to be widely used.