Polygon is among the leading crypto participants in the decentralized finance (DeFi) and investment sector. The project has seen impressive growth within the last few weeks.
Nevertheless, this growth isn’t in line with more extensions as the altering network dynamics will affect the alternative token.
MATIC Unlocked
On August 2, Polygon’s co-founder Sandeep Nailwal tweeted about an unlock of 1.4B MATIC coins worth more than $1.26 billion. The platform released the assets, which represent nearly 14% of the overall MATIC supply, from the Polygon contract.
Co-founders claimed 640 million of the 1.4 billion coins, committing to stake the asset in the network. The unlocks of last August and April 2022 were the final of the team’s plan.
Also, the platform unlocked another 546M MATIC coins, though the Polygon Foundation will hold the amount, awaiting the October 2022 273 million tokens unlock.
The fascinating part with this is the unlocks will not impact price movements since the tokens are yet to hit the marketplace. Things might fluctuate in either direction once that occurs.
Nevertheless, that does instill some sense of investor confidence concerning the ecosystem and developers. Polygon performs well on the front and has also launched the initial DeFi market for uncollateralized institutional loaning via Clearpool Finance.
That remains essential in backing the revival the alt noted recently, where MATIC surged by over 164.16%. MATIC seemed ready to recover May losses, and such a move would see it reclaiming the $1 mark as support.
The CMF (Chaikin Money Flow) reflects outflows within the past few days. However, investors remained active on the macro picture, with their inflows making the surge organic.
Consequently, that has triggered positive implications on the asset’s market value, maintaining its spot within the positive territory for over three weeks.
Nevertheless, broad market cues remain critical for MATIC’s upcoming movements. Bearishness can ruin the party towards $1. Moreover, the crypto market seems weak following the latest rally.
For instance, Bitcoin fails to keep the $23K mark away to explore new highs. While publishing this post, BTC exhibited downward stances, changing hands at $22,932. Let us check what upcoming trading sessions will bring.
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