The Polygon price has held steady in the past few days even as other cryptocurrencies sink. MATIC is trading at $1.9545, which is a few points below its all-time high of $2.7538. Its market capitalization is at more than $13 billion, making it the 15th biggest cryptocurrency in the world.
MATIC has done well
Polygon is a blockchain project that enables developers to build decentralized applications and organizations. The main goal of the network is to enable developers to scale their decentralized applications that are built using Ethereum’s network.
This is necessary simply because Ethereum is known for key challenges like slow speed and high transaction costs. In the past few months, more developers like Curve Finance and Aave have created Polygon-focused applications. At the same time, many developers have even started building Polygon projects from the ground up.
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","restrictedCountries":["CA","MX"],"attributes":{},"tableRowLabel":""}],"displayAttributes":[]}"}According to DeFi Llama, there are now more than 130 DeFi projects that are built using Polygon. These projects have a combined total value locked (TVL) of more than $5 billion, making it the 7th biggest platform in the world.
The Polygon price is rallying as investors react to the recent zero-knowledge (zk) announcement. In it, the developers said that it had acquired Mir in a $400 million deal. In total, Polygon has allocated about $1 billion towards zk scaling cryptography. It also merged with Hermez Network, in a deal that created Polygon Hermez.
Mir is a project that was started to help users scale their projects while reducing fees and transaction time. The developers did this by developing a recursive zk proof for about two years. They built plonky2, a carefully optimized proving system based on PLONK. Therefore, the combination of Polygon and Mir will lead to significantly faster Ethereum apps.
Polygon price prediction
The daily chart shows that the MATIC price has been in a bullish trend in the past few weeks. This trend has made the price rise above the ascending trendline that is shown in black. It is also slightly below the key resistance level at about $2.75. Also, it has risen slightly above the 25-day and 50-day moving averages while the MACD has moved slightly above the neutral level.
Therefore, there is a likelihood that the price will have a bullish breakout as investors target the key psychological level at $3. On the flip side, a drop below the ascending trendline will invalidate this view.
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