- Over the past seven days, the Polygon Network has experienced a substantial increase in traffic.
- NFT volumes and DEX also increased, showing a growing ecosystem.
Polygon [MATIC] Recently, the conversation about crypto on social media has shifted to L2s and other meme coins.
Despite Polygon being pushed to the side, network activity increased.
Polygons are on the Rise
Polygon’s Proof-of-Stake (PoS), based on recent data, consistently exceeded one million addresses daily for 25 consecutive days.
The number of wallets that interact with the network each day is called the daily active address. A consistent increase of more than 1 million addresses suggests that network usage has been increasing.
The growth of addresses that are active is a sign of an expanding user base.
The popularity of Polygon’s ecosystem was the cause for this surge. The NFT ecosystem and DeFi’s ecosystem have both seen a huge surge of interest in the past few weeks.
Source: X
AMBCrypto’s Dune Analytics data analysis shows that the NFT trading volume has grown in recent days.
As each NFT transaction incurs fees, validators can earn more money by verifying a larger volume. The network can grow by creating a stable income.
Source: Dune Analytics
Polygon saw growth, both for DEXs (Decentralized Exchanges) as well as revenue.
In spite of all these factors, TVL by the Network (Total value locked) declined dramatically during the period.
It’s possible that new users or trading activity didn’t translate into more users locking funds in Polygon DeFi protocols. The decline of TVL could be due to a number of factors.
They may have moved their money to DeFi platforms with better returns or features. Or, they could be withdrawing funds locked in order to profit or use them elsewhere.
Source: Artemis
You can read more about it here Polygon’s [MATIC] Price Prediction 2024-25
At press time, MATIC was trading at $0.7453 and its price had grown by 8.52% in the last 24 hours. The volume of the trades has also declined 47.34% in this period.
MATIC’s growth in terms of its network also declined during the same period. This suggests that MATIC has lost interest among new addresses.
Santiment
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Source: ambcrypto.com
