Polygon (MATIC) Getting Ready to Breakout Past $1.60?
Aiswarya Gopan • 2 min read
Polygon (MATIC) appears to be undergoing some consolidation under the $1.55 level after a short spike when buyers tried to test the $1.60 mark a few hours ago. At the time of writing, MATIC/USD is trading around $1.56.
Moves in the popular Layer-2 Ethereum scaling solution have been bullish on the back of an upbeat sentiment among investors towards cryptos in general. The optimism was triggered after market leader Bitcoin touched a new ATH in the previous session even as Ethereum trends higher after crossing the key $4,000 level.
Polygon’s Adoption is Rising Among dApp Developers
According to a new report from blockchain development firm Alchemy, the number of dApps on Polygon have been increasing rapidly, making it an independent ecosystem from the underlying Ethereum network. From around 30 in 2020, the number of dApps on the scaling solution have soared to over 3,000 till date, with Alchemy noting that its pace of growth is twice as much as Ethereum saw at the corresponding stage of its lifecycle in the past. On a monthly basis, the number of teams developing decentralized applications on Polygon has been increasing at a rate of 61%.
Polygon’s rapid rate of adoption among project developers and users has not gone unnoticed among the investor community. Earlier this week, digital asset management firm Bitwise announced the launch of its own Polygon (MATIC) fund, giving institutional investors an exposure to the MATIC crypto. Such a fund will drive higher interest among serious investors into the cryptocurrency which currently ranks 21 on the basis of market capitalization.
Upcoming Projects to Look Out For
On the fundamentals front, the Polygon ecosystem has been busy increasing its market share in terms of projects. One of the most interesting updates about its adoption is a partnership between the blockchain and DraftKings Marketplace for developing its NFT marketplace. The DraftKings Marketplace was originally established in August 2021, partnering with Tom Brady’s NFT platform – Autograph. It provides users a unique opportunity to buy and sell sports collectibles from some of the most popular athletes around the world, including Usain Bolt and Simone Biles.
Meanwhile, metaverse multi-player game Sin City is set to be deployed on blockchain via Polygon’s infrastructure. The project aims to offer an immersive 3D open world, play-to-earn GTA-styled multiplayer game and will hold the distinction of being the first R-rated game on the Polygon ecosystem.
MATIC/USD Technical Analysis
Technical analysis of the 4-hour chart of MATIC/USD reveals a bullish bias among moving averages and the MACD. Although, the momentum indicator suggests some interest among sellers as well.
Polygon’s price sits well above the pivot point at $1.41 and could be making its way higher comfortably past the $1.60 level soon. The next level worth watching is the immediate resistance at $1.67 which might prove difficulty for buyers going forward.