Journalist
Posted:
- Although Polygon’s network activity increased, it was still lower than at the beginning of 2023.
- MATIC fell over 1% and most metrics looked bearish.
After a drop, Polygon [MATIC] Network activity showed signs of recovery as a few key numbers shot up. A decrease in network activity means that the blockchain is not being used optimally.
Read Polygon [MATIC] Price prediction 2023-24
Although the scenario changed slightly, Polygon fell far short of the benchmark it set early this year.
Polygon revives
Polygon’s key network metrics have been on a downward trend for some time. However, according to Today In Polygon’s tweet, the blockchain’s daily active addresses have increased by 10% over the past seven days.
JUST IN:
Polygon PoS daily active users have increased by 10% over the past seven days. pic.twitter.com/ACiGuZYVIj
— Today in Polygon (@TodayInPolygon) September 21, 2023
This data looked encouraging as it suggested that more users are joining the network. Thanks to the increase in the number of active users, the blockchain’s transactions followed a similar upward trend.
Another tweet The account showed that Polygon’s daily transactions increased by 9.1%. While this was definitely a sign of revival, blockchain metrics are still nowhere near what they were at the beginning of this year.
JUST IN:
Polygon PoS’s daily transactions are up 9.1% over the past seven days. pic.twitter.com/HucWhkZEgf
— Today in Polygon (@TodayInPolygon) September 22, 2023
Furthermore, Artemis’ facts pointed out that Polygon’s active addresses and transactions at press time were significantly lower than those in January 2023. Not only that, but the blockchain also witnessed a massive drop in terms of value captured.
This was evident in the southward movements of both fees and revenues. PolygonThe company’s performance in DeFi has also declined in recent months as its TVL fell by a wide margin.
Source: Artemis
MATIC bears are dominant
While the blockchain showed some signs of recovery, MATIC did not. From CoinMarketCap, the token is down more than 1% over the past seven days. At the time of writing, it was trading at $0.5216 with a market cap of over $4.8 billion.
A look at the statistics sheds light on what went wrong.
Notably, Polygon’s supply of top addresses fell slightly, indicating that the whales lacked confidence in the token. Another bearish benchmark was MATIC‘s Open Interest, which increased as the token’s price plummeted.
Anyway, MATIC’s speed was high. A higher speed means that a coin or token is used more often in transactions within a certain time frame.
Source: Santiment
Is your portfolio green? look at the MATIC profit calculator
Investors may have to witness a few more days of negative price action. This trajectory seemed likely as both Polygon’s Relative Strength Index (RSI) and Chaikin Money Flow (CMF) followed a sideways path.
However, the MACD showed signs of hope as it showed a bullish lead over the market.
Source: TradingView