Polygon: Analysis of factors that could trigger a MATIC's rally
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MATIC the positives in the present
Polygon [MATIC] has shown promising price moves and managed to cultivate some hope for better days to come. MATIC has posted 3% growth over the past 24 hours and is trading at $0.7709 at press time.
Not only did MATIC see a positive price movement, but the token's popularity also saw an increase. MATIC is one of the top trending cryptocurrencies on the CoinGecko crypto exchange.
While the popularity of MATIC has grown, there have been some interesting developments in the Polygon ecosystem that could show some potential to increase the price of the alternative in the coming week. Interestingly, MATIC's on-chain indices also show a similar result.
Polygon events scheduled to take place
Polygon recently announced that they have integrated the Push protocol, formerly known as the Ethereum Push Notification Service (EPNS).
This can be considered a promising development in the ecosystem. This is because it will help Polygon provide better native Web3 communication to active Polygon applications and users.
Commenting on the push protocol integration, Polygon mentioned:
“The Push Protocol integration solves the lack of communication between applications and users. Thus, improving the overall user experience in Web3”.
Besides that, Polygon also recently announced zkEVM, which is a promising way to scale Ethereum and will bring cheaper transactions to Ethereum. With all these developments in the community, the future of MATIC looks good.
All good, but this is the point.
A look at MATIC's on-chain indices also paints a somewhat promising picture, as most indicators support upside in the coming days. For example, MATIC's 30-day market to real value (MVRV) ratio has increased over the past week. This is a positive sign.
Furthermore, MATIC outflows also showed a rally over the past two days, which is once again a bullish sign.
While some indicators support MATIC, some say the opposite. Santiment's chart reveals that MATIC development activity has decreased over the past week, which is generally a negative sign.
Furthermore, despite the aforementioned promising developments, MATIC has failed to attract more attention from the crypto community on social media as its social mentions witness decrease.
So, considering all the indicators and developments, most things seem to be working in MATIC's favor. However, traders and investors should exercise caution before deciding to invest in alts.
Oct 01, 2022