- Polygon noticed a decline in DEX quantity and community development regardless of reaching a milestone in DEX quantity.
- Rising NFT market and ongoing zkEVM developments had been optimistic for Polygon’s long-term potential regardless of the present setbacks.
Polygon [MATIC] just lately reached a brand new milestone by way of decentralized alternate (DEX) quantity. It crossed $50 billion in DEX quantity over the past 12 months, in response to a tweet on 11 January.
$50B+ in DEX quantity on @0xPolygon over the past 12 months🤌 pic.twitter.com/ZSDnEvwcrj
— Narb (@NarbTrading) January 10, 2023
Learn Polygon’s [MATIC] Worth Prediction 2023-2024
Nevertheless, regardless of reaching this watershed quantity, DEX quantity on Polygon declined over the previous couple of months, in response to knowledge from Dune Analytics. This decline in quantity might be attributable to a wide range of elements, similar to elevated competitors from different platforms or a normal decline in buying and selling exercise within the crypto market.
This decline in quantity advised that though Polygon reached a brand new milestone, by way of DEX quantity, the expansion of Polygon on this space decelerated.
Not all hope is misplaced for Polygon
The declining DEX exercise, nonetheless, didn’t have an effect on Polygon’s NFT market.
Polygon’s rising NFT marketplaces confirmed positivity, with a spike in NFT quantity as reported by Dune Analytics knowledge. One possible cause for this spike could be the current launch of the Donald Trump NFT assortment.
Moreover, Polygon’s current collaboration with social media giants similar to Reddit and Instagram may be factored in. These collaborations have helped deliver extra consideration and publicity to the Polygon ecosystem.
Speaking about MATIC
Shifting on to the MATIC token – merely put, the community development and velocity for the token declined, together with day by day lively addresses. The latter is proof of fewer lively customers on the community.
This aforementioned decline impacted MATIC holders’ profitability as nicely, which was showcased by the MVRV ratio, which declined over the previous month.
This advised that the majority MATIC holders would lose cash in the event that they bought their holdings at press time. Furthermore, the optimistic lengthy/brief distinction implied a majority of long-term holders had been experiencing losses at press time.
Are your MATIC holdings flashing inexperienced? Test the MATIC revenue calculator
Regardless of these short-term setbacks, Polygon continued to push ahead with its ongoing developments in zk-EVM, which goals to make it simpler to construct and deploy zk-rollup dApps on the platform. The platform’s give attention to scalability and efficiency is anticipated to assist appeal to extra builders and customers in the long term.
At press time, the value of the MATIC token was $0.859, nevertheless it grew by 1.41% within the final 24 hours, in response to CoinMarketCap.