The mood in the overall crypto market may be bearish as leader Bitcoin continues its slide lower, but one of the smaller digital assets bucking the trend and gaining attention is Polygon (MATIC). At the time of writing, MATIC/USD is trading at around $2.08.

The scaling solution developed for Ethereum has gained more than 140% over the past week alone, and climbed almost 30% higher in the past 24 hours. The increased interest among investors in the DeFi ecosystem has contributed to MATIC’s recent gains even though market leaders BTC and ETH both continue to garner losses lately.

Polygon was developed as a Layer 2 solution that sits on top of the Ethereum blockchain, empowering it by offering it multi-chain capabilities and greater scalability. Data released by DappRadar indicates that the top 20 Polygon-based DApps have over 75,000 active users during the past week.

Polygon (MATIC) has been an attractive alternative for DeFi projects over the Ethereum network that has been plagued by issues related to high gas fees and congestion. Polygon, on the other hand, offers lower gas fees and faster transaction speeds, driving more DeFi and Exchange related DApps on to its network.

Key Levels to Watch

On the 4-hour price chart, leading indicators MACD and momentum are pointing to a bullish bias for MATIC/USD. In addition, moving averages are also offering a great support to the uptrend in this cryptocurrency.

Looking ahead, the immediate resistance level of interest sits at $2.15 and a break above this can increase buying interest and take MATIC’s price all the way up to $2.57. If, however, buyers are unable to break past this point, we could see Polygon’s price drop down below the key $2 level, at least until $1.90.