- MATIC took advantage of the latest altcoin resurgence, marking a trend of decoupling from Bitcoin.
- The Polygon zkEVM network offered optimism as it saw a 40% TVL increase and hit an all-time high.
Amid the recent surge in Bitcoin price, several altcoins have taken the opportunity to shine. Specifically, polygon [MATIC] experienced a significant boost.
Realistic or not, here is the market capitalization of MATIC in terms of BTC
MATIC on the rise
MATIC’s recent rise can be attributed to the broader altcoin resurgence that coincided with that of Bitcoin. [BTC] final push beyond the $30,000 mark.
Unlike previous cases where Bitcoin’s rise eclipsed other digital assets, this time, altcoins like MATIC have shown notable decoupling from Bitcoin’s price, as reported by Santiment.
? Unlike #BitcoinIn the previous two brief visits to $30,000, this latest break of the resistance level to end the weekend came as #altcoins increase, instead of falling behind $BTCThe price. $LINK, $MATIC, $UIP, $FITand $AAVE We’re all looking at your best-performing decouplings of 2023. pic.twitter.com/ci7MPh25yf
Read also: The MATIC whales come out to play, but how does this affect Polygon in the long run?– Sentiment (@santimentfeed) October 23, 2023
On October 12, MATIC faced a major test as it approached the $0.501 support level. The token not only overcame this hurdle, but rose an impressive 25%. At the time of writing, MATIC was trading at $0.634, reflecting its substantial growth in a short period.
Despite the price rally, MATIC’s Chaikin Money Flow (CMF) fell to -0.07, indicating a bearish trend in money flow. However, the Relative Strength Index (RSI) remained remarkably high, around 75.99, suggesting strong bullish momentum.
Source: Commercial View
While the number of MATIC holders increased with the price increase, there was a notable decline in network growth. This trend indicates a reduced frequency of new addresses participating in MATIC transactions.
Source: Sentiment
A massive increase in activity
In contrast, the operational aspects of the protocol experienced significant improvements. The number of daily active addresses on the network has seen a substantial increase in recent days. Furthermore, the transaction volume within the protocol also increased, including daily transactions.
Source: Artemis
However, the DeFi sector on Polygon presented a less optimistic picture. According to Artemis data, the total value locked (TVL) on the protocol saw a significant drop. Furthermore, decentralized exchange (DEX) volumes on the Polygon network remained stagnant, indicating a lack of substantial activity.
Source: Artemis
Is your wallet green? Consult the MATIC Benefit Calculator
Despite these challenges, there was a glimmer of hope for Polygon, driven primarily by the Polygon zkEVM network. This solution witnessed an impressive 40% increase in TVL, reaching an all-time high.
This achievement hinted at the potential for further adoption and network activity in the Polygon ecosystem.
Its highest point
Polygon zkEVM hit a new ATH on TVL and is up over 40% in the last 30 days. pic.twitter.com/LA27j68u9n
– Today in Polygon (@TodayInPolygon) October 20, 2023
source: ambcrypto.com