- Polygon’s NFT ecosystem has seen a boom over the last few days
- Market indicators remain bearish for MATIC
Polygon witnessed a massive surge in its network activity over the last few days. However, while that happened, MATIC’s price remained under the bears’ influence. This was evidenced by the fact that its daily chart was red, thanks to the bearish market condition.
On the right track
Today In Polygon, a popular X (formerly known as Twitter) handle, recently shared a tweet highlighting Polygon’s recent achievements. As per the same, Polygon PoS daily transactions have risen by 500%+ over the last 3 months alone.
NEW:
Polygon PoS daily transactions have increased 500%+ over the last 3 months. pic.twitter.com/15msRMfEwq
— Today In Polygon (@TodayInPolygon) December 9, 2023
The blockchain’s achievements did not end there, however. For example – Polygon PoS hit 3.3 billion total transactions. Additionally, the blockchain’s EVM roll-up also touched new highs last week.
Polygon zkEVM TVL hit an all-time high of $120 million. Polygon zkEVM also passed $200 million in total deposits, reflecting the hike in the roll-up’s usage and adoption over the last few months.
Apart from these developments, the blockchain also recorded an achievement in its NFT ecosystem. MATIC’s NFT sales volume appreciated by 129% over the last 7 days. To verify the same, AMBCrypto had a look at CRYPTOSLAM’s data too. We found out that Polygon NFTs’ total number of buyers and sellers both surged by over 18% in the last 30 days.
However, despite the hike in buyers and sellers, the blockchain’s total sales volume dropped by over 3% in the last 30 days.
Source: CRYPTOSLAM
What do the price charts say?
While the blockchain hit new highs in terms of activity, MATIC’s price action turned bearish on the charts. According to CoinMarketCap, MATIC was down by more than 5% in just 24 hours. At the time of writing, it was trading at $0.8513 with a market capitalization of over $7.9 billion.
To see what went wrong, AMBCrypto had a look at Polygon’s on-chain metrics. Despite the drop in price, MATIC’s MVRV ratio remained at a high level. Its network growth was also high, meaning that more new addresses were created to transfer the token.
Additionally, its exchange inflow dropped last week – A sign that selling pressure was low.
Source: Santiment
Realistic or not, here’s MATIC market cap in BTC‘s terms
Worth pointing out though that it can go worse as MATIC’s MACD has been flashing chances of a bearish crossover.
Additionally, MATIC’s Relative Strength Index (RSI) registered a sharp downtick. This can contribute to a further drop in the token’s price over the next few days.
Source: TradingView
