Polygon 2.0: Potential Game-Changer for MATIC
Polygon’s network growth has experienced a recent slowdown, but the launch of Polygon 2.0 holds the promise of significant changes for both the network and MATIC in the upcoming months.
Decline in Network Fees and Revenue
Over the past few weeks, Polygon’s network fees and revenue have seen a decline, reflecting a temporary setback in its performance.
Bullish Sentiment and Growth
The weekly chart for MATIC has turned green, indicating an increase in bullish sentiment. This positive outlook suggests potential growth for the token.
Pause in Network Stats
Over the last three months, key network statistics for Polygon (MATIC) have shown a plateau, signaling a temporary halt in growth. The captured value of the blockchain has also experienced a partial decline in recent weeks.
However, with a major blockchain update in the works, Polygon’s fortunes could change in the coming months.
Stagnant Network Activity
Artemis’ data reveals that certain key network metrics, including daily active addresses and the number of daily transactions, have remained stagnant over the past three months. While stability is evident, it also suggests a pause in blockchain growth. Additionally, a slight decline in fees and revenue has been observed.
Yet, Polygon has a potential game-changer in the form of Polygon 2.0, which was recently announced. This upgrade has the capacity to propel MATIC’s growth in the months ahead.
Polygon 2.0 Advantages
Polygon 2.0 introduces the innovative Polygon Community Treasury, a fund powered by community governance. This treasury brings three key benefits to the blockchain: self-sustainable economic support, reduced reliance on the Polygon Foundation for decentralization, and increased transparency and community involvement.
With enhanced capabilities and transparency, Polygon is poised to attract new users and drive growth. Another significant change is the introduction of MATIC’s successor, POL, envisioned as a tool for ecosystem coordination and growth.
MATIC’s Recovery Signs
Amidst these developments, market sentiment around MATIC is gradually turning bullish. LunarCrush’s data indicates a more than 25% increase in bullish sentiment for MATIC in the past week. Social engagement is also on an optimistic upward trend.
Polygon’s price also exhibited a slight rise over the previous week. According to CoinMarketCap, MATIC recorded a 1.3% increase in the last seven days, currently trading at $0.6806, with a market capitalization exceeding $6.3 billion.
Furthermore, CryptoQuant’s data suggests a decrease in MATIC’s exchange reserve, potentially signaling rising buying pressure for the altcoin in the near future.