June 17, 2021

PC TECH THERAPY

PC Tech Therapy Blog by Daniyal Computer

3 the explanation why Polygon (MATIC) outperformed Bitcoin and main cryptos this week

4 min read


Polygon (MATIC) is on a tear. Prior to now seven days, it has received 35% prior to now seven days, outperformed each main cryptocurrency excluding Uniswap.

There are a number of giant causes in the back of the sturdy uptrend of MATIC, together with the rising hype round Polygon, Google BigQuery announcement, and Mark Cuban’s funding.

MATIC 1-day candle chart (Binance). Supply: TradingView.com

Rising sentiment and hype round Polygon

On Feb. 9, Matic first introduced its plans to rebrand to Polygon. On the time, they introduced in promising metaverse initiatives and built-in Matic Plasma Chain.

By means of enforcing Plasma Chains, Polygon used to be ready to offer a layer one blockchain community with integrated scaling answers for initiatives.

The Polygon crew mentioned in February:

“We applied and presented Matic Plasma Chains, a production-ready Ethereum Layer2, predicates-based Plasma implementation; We applied and presented Matic PoS Chain, a permissionless, EVM-compatible, PoS-secured Ethereum sidechain which is determined by sturdy Ethereum safety for validator staking and checkpoints; Onboarded 80+ wonderful programs, together with Polymarket, Aavegotchi, Neon District, Skyweaver, Cometh, EasyFi with extra being added on a regular basis.”

Since then, Polygon has develop into a big layer-one blockchain challenge, particularly for metaverse initiatives with the numbers of customers skyrocketing.

Polygon ranks most sensible ten of cryptocurrencies by way of social quantity. Supply: Lunar Weigh down

The rising basics appear to even be boosting the total marketplace sentiment for the blockchain challenge.

Bullish momentum for MATIC used to be picked up by way of the VORTECS™ information from Cointelegraph Markets Professional, which started to locate a good outlook previous this week, previous to the hot worth highs.

The VORTECS™ Rating, unique to Cointelegraph, is an algorithmic comparability of ancient and present marketplace stipulations derived from a mix of knowledge issues together with marketplace sentiment, buying and selling quantity, contemporary worth actions and Twitter job.

VORTECS™ Rating (inexperienced) vs. MATIC worth. Supply: Cointelegraph Markets Professional

As noticed within the chart above, the VORTECS™ Rating flipped inexperienced at the morning of Would possibly 24 and rose till peaking at 94 on Would possibly Would possibly 27 proper as the fee reached its contemporary highs above $2.30.

Google BigQuery announcement

Along with a number of contemporary construction milestones, together with a Ren-Polygon bridge for seven most sensible crypto belongings and SDK for development Ethereum-compatible chains, Polygon additionally introduced on Would possibly 29 that the challenge finished the combination of Polygon belongings into Google Cloud’s BigQuery.

This integration is necessary as it improves the accessibility and positioning of Polygon; it lets in customers of BigQuery customers to simply faucet into Polygon. 

The Polygon crew mentioned:

“We’re extraordinarily overjoyed to percentage that we have got finished an integration of Polygon datasets into @GoogleCloudTech #BigQuery! Which means that you’ll question Polygon’s datasets, run analytics and extract insights the use of Google’s #BigQuery platform. Blockchains are probably the most richest resources of verifiable information, and this can be a giant step in opposition to bettering developer get entry to to Polygon’s datasets and serving to analysts unencumber their immense latent worth.”

Polygon is integrated within the BigQuery 1TB providing, this means that that the majority BigQuery customers will have the ability to run queries at the Polygon blockchain community to get entry to more than a few blockchain-related information units.

Cuban backs Polygon

Moreover, billionaire investor Mark Cuban printed making an investment in Polygon on Would possibly 25.

Cuban defined that having a prime transactions in step with 2d (TPS) output is very necessary to decrease the price of utilization for customers.

Moreover, Cuban additionally emphasised that community impact is a very powerful, and Polygon already has many initiatives the use of the blockchain. He famous:

“Having extra TPS and decrease gasoline charges isn’t sufficient. There will have to be a CURRENT community impact and demanding person expansion. It is a problem for many L1s and L2s as a result of [with] few exceptions, advertising and marketing within the crypto universe is past terrible. It’s rapid; it really works neatly, and most significantly, their person base is rising exponentially.”

Analysts additionally say that exiting DeFi traders are changing into most often positive in opposition to Polygon and initiatives on most sensible of the blockchain.

Brad Laurie, a crypto analyst, mentioned:

“He is proper. There may be been an enormous shift in fortify for @0xPolygon from a wide variety of events, influ, teams & tough avid gamers. There is no query that the ETH-#DeFi crowd are prepared for the approaching offers on $MATIC. Lots of ’em are busy studying pitch-decks in prep for the hustle.”