The Polygon price has bounced back in the past few days and is approaching its highest level on record. MATIC, its native token, is trading at $2.2385, which is a few points below its all-time high of $2.775. This price is about 255% above its lowest level in July this year and its market cap has grown to more than $15 billion.
Polygon is the biggest layer-2 blockchain platform for Ethereum’s blockchain. Its platform enables developers to optimize their Ethereum-built applications. Using the network makes their apps relatively faster and significantly cheaper than using the real Ethereum.
In the past few months, many developers have started building their apps directly in Polygon’s ecosystem. According to DeFi Llama, there are now about 123 DeFi applications built using Polygon. They have a total value locked of more than $5 billion, making it the eighth biggest smart contract network in the world.
The daily chart shows that the MATIC price has been in a slowly upward trend in the past few weeks. The current price is slightly above the ascending trendline that is shown in red. The uptrend is also being supported by the 25-day and 50-day moving averages. A closer look shows that it has formed a small cup and handle pattern, which is usually a bullish sign. Most importantly, it is approaching its all-time high.
Therefore, the Polygon price will likely gain momentum in December as the fear of missing out (FOMO) intensifies. This is in line with my previous prediction. If this happens, the coin will likely rise to the key resistance at $3 in the coming weeks. This price is about 40% above the current level. This outlook will be invalidated if the coin falls below the ascending trendline.
This post was last modified on %s = human-readable time difference 07:48