The crypto market is going through tough times at the moment. Due to the bear market, we barely notice any strong price gains and a poor rendition of the financial markets also damages the cryptos. But that also gives us a good opportunity to invest cheaply. The MATIC coin from Polygon is a very interesting choice. In this Polygon price prediction article, we catch what Polygon MATIC is and why its price could boom.
What is Polygon (MATIC)?
Polygon is a scaling solution for the Ethereum Blockchain. It allows faster and more efficient transactions. Polygon employs so-called “sidechains” to properly distribute the transaction load that occurs on Ethereum. This is what a layer 2 solution is about. To evade the high fees, Ethereum created its own scaling solution. At first, the network was named MATIC. This was broadcasted on the Ethereum blockchain at the end of 2017. Later the network was renamed Polygon. MATIC is just the name of the native token.
With the second layer, Polygon seeks to ease the Ethereum blockchain. Polygon’s sidechains operate on the efficient proof-of-stake consensus mechanism. Developers can outsource their smart contracts and dApps to Polygon.
Polygon Price Prediction: How has the MATIC Coin advanced over the past few months?
In the past few months, the MATIC Coin has witnessed a more acute drop due to the bear market. As a result, prices dropped sharply, particularly in the first half of 2022. The MATIC coin only touched its all-time high of $2.92 in late December 2021. At the end of January 2022, the MATIC price dropped to 1.36 USD. In the weeks that ensued, the price stabilized even more until the end of April. But in May and June, the rate dropped again. In mid-June, the MATIC price dropped below $0.35. After that, we noticed stabilization again and slight gains. At the moment, the polygon price is $0.7547.
Is Polygon Crypto a Good Project?
As mentioned earlier, Polygon’s MATIC has lost ground in recent months. Yet it has achieved better than many other cryptocurrencies in recent months. Especially in July and August, the MATIC price witnessed a more decisive growth than other coins.
As a scaling solution from Ethereum, Polygon is an extremely fascinating project with tremendous potential. Ethereum’s earlier scaling issues with low transaction speeds and high gas fees needed a simple solution to shift transaction load. Polygon took a lot of the transaction load from Ethereum. As a result, Polygon’s rage has advanced rapidly and constantly in recent years.
Likewise, Polygon has even greater plans for the future. With its “sidechains”, it desires to become the internet of blockchains for Ethereum. The growth is towards a fully-fledged multi-chain ecosystem. This should be incredibly affordable, efficient, speedy, and scalable for developers. These opportunities ensure that in the future the prediction for the Polygon price could be promising.
Polygon Price Prediction – How high can the MATIC Coin rise in the future?
When we speak about cryptocurrencies that could increase smartly in the coming months and years, MATIC is cited again and again. The prospect of Ethereum’s scaling solution is quite large. If Ethereum’s price increases strongly in the future, Polygon (MATIC) could also profit from it. The possibility of a full multi-chain platform makes an investment in the MATIC Coin even more attractive. The MATIC coin could grow even more intensely than the ETH in the next few years.
What are the impacts of the Ethereum Merge on the MATIC Coin?
As a different multi-chain solution, the Polygon network should develop together with Ethereum. So the Ethereum Merge is an incredible opportunity for Polygon to continue to grow massively in the future. This should bring the price of the MATIC coin up.
Polygon Price Prediction – MATIC to reach 1$?
The Ethereum merge with a transformation of the consensus mechanism to Proof-of-Stake on the Ethereum main chain is a challenge for Polygon. But Polygon could also profit from this in the long term. Higher scalability at Ethereum should also guarantee that even more applications are also moved to the Polygon blockchain Now that the Merge has finally happened, there is an increased probability that MATIC grows as well. In figure 2 below, we can witness that a breach in the price of $0.96 should lead MATIC to efficiently reach 1$, particularly with all the buildup that’s been happening lately. This will lead to a 20% price growth.
Right now we are in a bear market. The prices of cryptocurrencies are much inferior to those in bullish times. Since the bull market could begin again in the medium and long term, an investment in the MATIC token from Polygon should be beneficial at the present comparatively low prices.