Polygon MATIC price has surged in the past few weeks. The token surged to a high of $1.05, the highest level since November 12. It has surged by more than 34% from the lowest point in 2023. This makes it one of the top-performing cryptocurrencies in the industry. It has a total market cap of more than $8.8 billion, making it the tenth biggest coin in the world.
Polygon ecosystem growth
Polygon is a leading blockchain project that provides layer-2 scaling solutions to Ethereum developers. It helps to supercharge blockchain apps built on Ethereum’s platform. For example, it boosts dApp speeds since Ethereum’s speeds are significantly low. At the same time, the sidechain lowers costs to just a few cents.
MATIC price has risen as Polygon’s ecosystem has continued doing well. According to DeFi Llama, there are 355 DeFi apps in its ecosystem that have a total value locked (TVL) of more than $1.16 billion. This TVL has jumped by more than 14% in the past 7 days. It is the fourth-biggest DeFi app in its ecosystem.
Most DeFi players in Polygon have had substantial inflows in the past few days. AAVE’s TVL rose by more than 22% in the past 30 days. Similarly, QuickSwap, Balancer, Uniswap V3, Beefy, and Curve have seen their TVLs jump by more than 20% in the same period.
Polygon price rose after the latest Polygon PoS network upgrade. The new upgrade introduced reduced gas spikes and upgraded its validator program. In most cases, cryptocurrencies tend to jump ahead after a network upgrade. In a note, the developers said this about the hard fork.
“By increasing the denominator from 8 to 16, the growth curve can be flattened. These results were backtested against historical Polygon PoS mainnet data. The expectation is that the rate of change for the base gas fee will fall to 6.25%.”
MATIC price prediction
The daily chart shows that the Polygon MATIC price has been in a strong bullish trend in the past few days. As it rose, it moved above the key resistance level at $0.95, the highest point on December 7. It also moved above all moving averages while oscillators continued soaring. Therefore, the coin will likely continue soaring as buyers target the key resistance level at $1.20.
