Polygon Hits New ATH in Daily Active Addresses: MATIC Bulls in Control

• Polygon’s network activity has reached unprecedented levels, with daily active addresses surpassing 1.4 million, marking an all-time high.
• On one hand, there’s increased buying interest as indicated by a decrease in supply on exchanges and a rise in supply outside exchanges. Additionally, confidence among whales seems to be growing.

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Polygon (MATIC) has garnered significant attention in recent weeks due to its robust network activity, and this trend has reached a new milestone. The blockchain’s daily active addresses have consistently surpassed the 1 million mark over the past few weeks, culminating in a record high on May 1st.

According to a tweet from Today In Polygon, the number of daily active addresses on the Polygon network surged to 1.4 million, marking an all-time high. Analysis of Artemis’ data further revealed that this substantial increase in active addresses has also led to a notable surge in daily transactions, reflecting the positive momentum of the network.

While the blockchain experienced increased network activity, there was a concerning trend in captured value. AMBCrypto’s analysis revealed that despite the rise in active addresses, fees plummeted significantly, resulting in a decline in the blockchain’s revenue.

Additionally, Polygon’s performance in the DeFi sector did not meet expectations, as evidenced by a drop in its Total Value Locked (TVL).

Polygon (MATIC) Bulls Take Charge

Bullish momentum surged for MATIC as its price chart reflected gains. As of press time, the Polygon (MATIC) price is up 0.14% trading at $0.7259 with a market cap of $7.185 billion.

As per Santiment’s data unveiled a decrease in MATIC’s supply on exchanges, while the supply outside of exchanges rose. This shift suggests a rise in buying interest for Polygon. Furthermore, confidence among whales appeared to strengthen, as evidenced by a slight increase in the supply held by top addresses.

To gauge the sustainability of this bullish trend, let’s look into MATIC’s daily chart. The Chaikin Money Flow (CMF) and Money Flow Index (MFI) both demonstrated upward movement, indicating growing bullish sentiment. Additionally, the MACD indicator signaled a bullish market trend. However, the Bollinger Bands hinted at decreasing volatility in MATIC’s price, suggesting a potential stabilization phase.

While the MATIC price has underperformed the rest of the altcoin market, the Polygon ecosystem continues to expand further.

According to on-chain data, the vast majority of Polygon addresses, around 81.45%, are currently experiencing unrealized losses. In contrast, only 14.3% of addresses acquired MATIC at prices lower than its current market value. This data implies that most investors are hesitant to sell at a loss, hinting at a prevailing bullish sentiment, reported Crypto News Flash.

In a recent announcement, the renowned trading platform Robinhood has forged a strategic partnership with Polygon (MATIC), marking a significant milestone in the expansion of Non-Fungible Tokens (NFTs) and stablecoin growth. This collaboration has been made possible with the backing of 0x Project and LI.FI, as highlighted by Polygon, per the Crypto News Flash report.