- Polygon’s NFT trade count and trade volume registered a spike on 24 September.
- MATIC’s exchange reserve was increasing while whales’ confidence dropped.
Over the last month, Polygon [MATIC] was only second to Ethereum [ETH] in the NFT ecosystem. However, upon closer inspection of the blockchain, it was revealed that Polygon’s NFT ecosystem actually witnessed a decline on multiple fronts, but things started to heat up in the last few days. Amidst this, MATIC continued to remain under bears’ influence.
Is your portfolio green? Check the MATIC Profit Calculator
A closer look at Polygon’s NFT ecosystem
Today In Polygon’s tweet highlighted how Ethereum and Polygon performed in their respective NFT ecosystems over the last 30 days.
As per the data, though the two blockchain were at the top of the NFT ecosystem, their sales volumes dropped over the last 30 days. Ethereum and Polygon witnessed a decline of similar magnitude as their sales volume went down by over 41% last month, which looked concerning to the overall NF Tecosystem’s health.
JUST IN:
Polygon is the #2 blockchain in NFT sales volume over the last 30 days, 7 days and 24 hours. pic.twitter.com/sNO6vMulUe
— Today In Polygon (@TodayInPolygon) September 25, 2023
Not only did Polygon’s sales volume drop, but declines were noted on quite a few other fonts as well. For instance, as per CRYPTOSLAM, the blockchain’s total number of NFT transactions and number of buyers dropped by more than 50% and 7%, respectively, last month.
Additionally, its NFT volume by marketplaces’ chart also lost momentum as it dropped.
At press time, OpenSea had the highest market share of over 85%, while Rariable sat in the second spot as its volume accounted for 6.8% of total Polygon NFT volume.
While volume dropped, DappRadar’s data revealed that y00ts remained the top Polygon NFT collection over the last month, followed by Mythical Beings, Cryptokhat, and OKX NFT Collection.
Source: Dune
Interestingly, though most metrics declined over the last few weeks, things started to heat up in the recent past. Santiment’s chart pointed out that both the blockchain’s NFT trade counts and trade volume in USD registered a spike on 24 September 2023, signifying growth.
Source: Santiment
How is MATIC faring?
Polygon’s native token continued to remain under bears’ influence for multiple weeks now as its charts were red. According to CoinMarketCap, MATIC was down by more than 1% in the last seven days.
At the time of writing, it was trading at $0.5147 with a market capitalization of over $4.7 billion.
Read Polygon’s [MATIC] Price Prediction 2023-24
A look at MATIC’s on-chain performance hinted at what was going on. For instance, MATIC’s exchange reserve was increasing, meaning the investors were selling their holdings.
Another bearish signal was the token’s MVRV ratio, which dropped last week. Additionally, whales’ confidence in MATIC also dwindled, which was evident from the slight decline in its supply held by top addresses.
Source: Santiment
