5 Reasons to be Bullish on Polygon (MATIC) Price

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As a seasoned crypto investor with years of experience navigating the volatile digital asset landscape, I find myself increasingly bullish on Polygon (MATIC) price. My personal journey in the crypto world has taught me that growth, innovation, and strategic partnerships are key indicators of a coin’s potential success.

Since its rebranding to POL on September 13, the value of Poggon (MATIC) has been steadily rising. This fresh start provided the project with renewed energy in terms of price movement, although there was a brief dip in value on the day of launch. This drop can be attributed to the new POL tokenomics, which indicate an infinite supply as opposed to MATIC’s 10 billion total supply. However, POL quickly rebounded from this initial setback, with its price bottoming out around $0.37 before it started to climb again.

5 Reasons to be Bullish on Polygon (MATIC) Price

Let’s take a detailed examination into the reasons behind MATIC‘s potential price surge, given the expanding crypto market:

1. Growing Network

In just the past month, the Polygon network has seen an astonishing surge, expanding by a massive 1,019%. According to Santiment’s data, this makes it the blockchain network experiencing the fastest growth. The Ethereum-based token WETH is a close second, also demonstrating impressive expansion on the same network.

The top networks in crypto by network growth over the past 30 days include:
1) The Polygon Ecosystem’s $POL token has seen a surge of +1,019% in new addresses.
— tanyel (@dalya_tanyel) September 27, 2024

A larger expansion in the network indicates a good sign, as it suggests an influx of new users interacting with and relying on the network. This increased user base can stimulate interest in the underlying cryptocurrency. With more people using the network comes higher transaction rates, which tends to boost the network’s worth and usefulness.

2. Polygon zkEVM Narrative

One way to rephrase the given statement in a more natural and easy-to-read manner is: “Polygon is the sole blockchain currently working hard to refine zkEVM technology, which is a layer 2 solution that allows other networks to operate similarly to the Ethereum Virtual Machine (EVM). This results in faster finality by carrying out transaction computations off-chain.

This would be phase 1 for upgrading PoS to a full, ZK-powered L2.

As a research analyst delving into the realm of blockchain technology, I’ve been closely observing the tireless efforts of the core developers at Polygon Labs. Their relentless pursuit has primarily centered around scaling Ethereum, starting with Proof-of-Stake (PoS) technology. Over the years, their extensive research and development have led to two key insights:

— Polygon | Aggregated (@0xPolygon) September 25, 2024

Using this technology, the Polygon network is expected to become swifter than Ethereum, drawing in more investors and users, potentially boosting its value.

While these two are the main reasons why MATIC price could shoot up, here are three more reasons:

3.  POL Is Undervalued At Current Price of $0.43

At the moment, the POL token is priced at $0.43, which could be an appealing investment for those seeking profitable opportunities. Its robust foundation and promising future growth make it an alluring entrance point for investors who are on the hunt for lucrative cryptocurrencies with high potential.

Based on Santiment’s analysis, the Market Value to Realized Value (MVRV) ratio over a 365-day period is currently showing an undervalue of approximately 34.84%. This suggests that, on average, investors who purchased the asset within the last year are experiencing a loss of around 34.84%.

As a researcher examining market trends, I’ve noticed an interesting pattern: Investors who are ‘in the red’, or holding assets at a loss, tend to be less inclined to sell. This diminished selling pressure could potentially contribute to market stability. Furthermore, when we observe a significantly negative MVRV (Majority Below Average Realized Profit/Loss) ratio, it might hint at a potential reversal point. In such cases, there’s a possibility that the price may begin to rebound as investor sentiment gradually shifts towards optimism.

4. Partnerships and Integrations

Polygon has established significant collaborations with leading firms and initiatives, such as seamless integrations with prominent DeFi platforms such as Aave and Curve. These alliances contribute to enhancing its prominence and trustworthiness in the market.

On the 25th of September, Assetera introduced Europe‘s inaugural regulated tokenized Risk-Weighted Assets (RWA) market, which was deployed on the Polygon network.

Polygon is fast becoming home of RWAs : Assetera launches secondary tokenized RWA market on Polygon

— Sandeep | AggLayer (@sandeepnailwal) September 26, 2024

The platform enables around-the-clock trading of tokenized real-world assets, with regulations from the Austrian Financial Market Authority and adherence to MiFID II standards ensuring security and legitimacy.

5. Name Change to POL

Polygon recently renamed its MATIC token to POL, offering an incentive for those who stake POL. The swap from MATIC to POL was done at a 1:1 ratio. Polygon’s new AggLayer has potential to address the problem of fragmented liquidity in Layer2 systems. As more projects are developed on AggLayer, there may be further airdrops for POL stakers, in addition to the existing benefits from staking.

Should You Buy Polygon (MATIC) Price?

Polygon stands out as a strong, continuously expanding network, where developers are consistently at work. This combination of traits makes Polygon an appealing prospect for potential investments. The network’s ability to scale effectively, along with its budget-friendly cost, presents an enticing investment opportunity for those seeking returns.

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2024-09-27 17:52