Polygon’s popularity has risen at a considerable rate recently. Those buying and selling Polygon’s MATIC token would’ve stood to gain from MATIC’s surge by over 17% this week with a seven-day high of $0.646. MATIC is currently trading in the green, showing no sign of slowing down. Why this sudden spike? Is it happening to start a new trading trend? Well, let’s dive into this.
Polygon, which is mainly designed to fix Ethereum’s scalability issues, seems to be winning as a favourable destination for Terra’s projects exodus after the massive descent Terra has been witnessing since its crisis in May.
Last Saturday, Polygon’s CEO Ryan Wyatt said in a tweet that over 48 projects “and counting” have migrated from Terra to Polygon, including One Planet NFTs and play-to-earn game Derby Stars. Wyatt says that Polygon’s intention is to put capital and resources against these migrations and “welcome the developers and their respective communities” to Polygon’s platform.
But the good news for Polygon doesn’t end here. On the partnerships front, it recently announced a collaboration with HTC to launch its first metaverse phone. And just yesterday, the Disney Accelerator program announced its 2022 participants, and Polygon was the only blockchain network to be part of the prestigious program. According to Polygon’s CEO, this “speaks volumes to the work being done here [at Polygon], and where we’re going as a company.”
First launched in 2014, Disney’s accelerator program allows participants to receive mentorship from Disney’s leadership team, providing them with additional investment capital and access to Walt Disney’s Los Angeles campus. These developments along with the optimistic sentiments are yet to aid MATIC investors, as on-chain data from IntoTheBlock shows about 13% of addresses holding MATIC are making profits while 81% are losing money, given the current market price. However, as the bear market ensues, MATIC surged by 15.6% on Thursday with a 48.6% surge in price in the past 30 days.
Previously known as the Matic network, Polygon aims to make transactions on Ethereum faster and cheaper with the help of “sidechains” – or add-on blockchain layers that run parallel to the main Ethereum blockchain.