Polygon ranks third in top DeFi projects by revenue; what this means for MATIC price


  • Ethereum scaling solution Polygon has become one of the top blockchain service providers for top-tier brands. 
  • On-chain data reveals Polygon network is attracting mass users; active addresses has surged to a four-week high of 575,309. 
  • Analysts believe MATIC price is likely to make a comeback above the $0.92 level. 

Polygon ranks third in top DeFi projects, based on its revenue. Polygon has witnessed a spike in user activity following the FTX exchange crash and bankruptcy. Analysts retain their bullish outlook on MATIC price, the token of the Ethereum-scaling solution. 

Also read: FTX liquidity gap widens to $8 billion, here’s what this means for the future of crypto

MATIC hits key milestone, ranks third in DeFi projects by revenue

MATIC, the native token of the Ethereum-scaling solution Polygon, ranks third in the list of top DeFi projects by revenue. Despite the growth in revenue, Polygon’s DeFi-based projects failed to see an increase in Total Value Locked (TVL). 

DeFi data aggregator DeFiLlama revealed that Polygon network’s TVL has decreased by 1.22% over the past day, and its value is currently at $1.52 billion. Interestingly, there is a spike in user activity in MATIC. 

Since the FTX-exchange crash, user activity on the Polygon blockchain climbed significantly. The news of Polygon’s partnerships with top-tier brands including Nike, Starbucks, Coca-Cola, Meta and Adidas coincides with other key milestones.

The number of active Proof-of-Stake (PoS) chain addresses surged to a four-week high of 575,309 on November 10. This is the third-highest volume of activity thus far in 2022. The highest address activity was recorded on October 13, when 782,186 addresses were active on the Polygon blockchain, based on data from PolygonScan. 

According to crypto data aggregator CryptoQuant, MATIC reserves across exchanges have declined. Reduction in reserves of Polygon’s native token on cryptocurrency exchanges reduces the selling pressure on the asset. Supply dynamics of a token directly influence its price, therefore MATIC price is likely to begin its recovery soon. 

Ritesh_Trades, a pseudonymous crypto trader and analyst believes MATIC has bullish potential. MATIC price could make a comeback above the $0.92 level. 

MATICUSDT price chart

MATICUSDT price chart 

Sam Grant, a technical analyst, believes MATIC price could decline below the $0.87 level, where it is currently trading. If the bullish thesis is invalidated, the asset could nosedive lower. FTX-crash has resulted in a contagion that spread throughout the crypto ecosystem and resulted in a bloodbath in top cryptocurrencies. Therefore MATIC could plummet to the $0.80 level. 


Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Join Telegram

Recommended content


Recommended Content

Editors’ Picks

Lido DAO announces new phase on Ethereum with Simple DVT module

Lido DAO announces new phase on Ethereum with Simple DVT module

Lido DAO voted on the deployment of the Simple DVT module nearly six months ago, it is ready for mainnet as of April 17. Simple DVT helps to make Lido’s technology accessible to more users. LDO price is down nearly 3% in the past day.

More Lido DAO News

New altcoins crash and burn, but this altcoin shows strength Premium

New altcoins crash and burn, but this altcoin shows strength

Binance Coin price shows a bullish pennant continuation pattern. BNB could range between the $600 to $526 levels until the skies clear out for Bitcoin. The altcoin could see a massive gain with the upcoming BEP-336 upgrade.

More Cryptocurrencies News

Cronos price fails to recover despite network upgrade

Cronos price fails to recover despite network upgrade

Cronos (CRO) is an Ethereum Virtual Machine (EVM) compatible chain in the Cosmos ecosystem. A mainnet upgrade was completed early on Wednesday and the asset’s price declined nearly 2% in the past 24 hours. 

More Cryptocurrencies News

XRP tests $0.50 resistance after Ripple CLO says pretrial conference with SEC did not take place

XRP tests $0.50 resistance after Ripple CLO says pretrial conference with SEC did not take place

XRP is stuck below $0.50 resistance after failing to close above this level since Monday. Ripple CLO Stuart Alderoty said late Tuesday there was no pretrial conference since the SEC dropped charges against executives. 

More Ripple News

Bitcoin: BTC’s rangebound movement leaves traders confused

Bitcoin: BTC’s rangebound movement leaves traders confused

Bitcoin (BTC) price has been hovering around the $70,000 psychological level for a few weeks, resulting in a rangebound movement. This development could lead to a massive liquidation on either side before a directional move is established. 

Read full analysis

BTC

ETH

XRP