Key information:
-
On-chain metrics reveal a low stage of exercise inside the Polygon community.
-
MATIC’s market cap is at near-12-month lows
There are solely two days left till the replace happens inside the Polygon community, wherein he token native to this blockchain will mutate from MATIC to its new model POL. Though the Polygon ecosystem is simply hours away from taking this step, the response from the market and the Polygon neighborhood appears to be one in every of lethargy and stagnation.
This asset conversion occasion reported by CriptoNoticias, which can happen mechanically with out customers having to intervene, will happen on September 4, 2024. Regardless of the proximity of the occasion, the passion that this replace would entail has not but been mirrored within the information. on-chain nor within the MATIC share value.
What’s taking place on the Polygon community?
Taking some metrics on-chain extracted by the evaluation web site Develop the pie, such because the variety of each day energetic addresses and the variety of each day transactions on the blockchain, could be noticed low ranges of exercise from February 2024 to the current.
Throughout that interval, the variety of energetic accounts hovered between 4,000 and 5,000. Solely in June did there be an enchancment, reaching between 7,000 and 9,000 energetic accounts.
Alternatively, the variety of each day transactions recorded on the community, from the top of February to the current, remained at ranges between 10,000 and 20,000 {dollars} per day.
One other not-so-encouraging measure of exercise on Polygon is the decline in market capitalization. This information reveals the migration of customers out of the community or to different platforms, since utilizing Polygon presupposes holding MATIC to pay charges. On the time of writing, This metric is near its lowest stage within the final 12 months, at $3.9 million, indicating that customers have been promoting the asset.
Finally, In the previous couple of hours, there have been no upward or downward breakout actions within the MATIC value.On the time of writing, the cryptocurrency value stays within the resistance zone close to $0.40. This may be seen within the following picture taken from TradingView.
On August 26, 2024, MATIC started a value decline from round $0.54 till it reached and held on the aforementioned resistance. That is the fourth time it has reached these areas since 2021, and every time it has bounced upwards from right here, though every time with much less drive.
There are, due to this fact, a number of indicators that recommend that the Polygon community isn’t as energetic because it as soon as was. The value chart exhibits that the MATIC (quickly POL) value may very well be drawing a long-term backside because of which, with the favour of a hypothetical bull market, the community might have the ability to resume the trail of exercise and MATIC, the appreciation of speculative traders.
Nevertheless, this is only one state of affairs, and it stays to be seen whether or not this rebranding of Polygon may have a constructive impression on community utilization after September 4.
