Polygon Adoption Accelerates As MATIC Rises 10%

On-chain data indicates that Polygon adoption has accelerated as MATIC enjoyed a 10% increase over the past day.

Recently, the polygon network has been growing steadily

According to data from the on-chain analytics company saintMATIC addresses are generated at an increasingly faster rate. A relevant indicator here is “network growth,” which measures the total amount of new Polygon addresses that come online on the blockchain.

New addresses can be thought of as the same as new users coming into the network, so this metric can give us hints as to how adoption of the cryptocurrency.

When the value of the indicator is high, it means that a large number of new addresses are being generated on the network at the moment. Of course, this kind of trend indicates that a large number of new users are likely to join the chain at present.

On the other hand, low values ​​indicate that new MATIC address activation is low on the network at the moment, a potential sign that the asset is not seeing much adoption.

Now, here’s a chart showing the trend in Polygon network growth over the past month:

The value of the metric seems to have been going up in recent weeks | Source: Santiment on Twitter

As shown in the chart above, Polygon Network’s growth achieved a relatively low value in mid-June, but since then, the index has been riding an overall upward trend.

From the chart, it is also evident that the sharpest spikes in the scale occurred at points where the price of the cryptocurrency was experiencing significant swings.

In general, a sharp price movement can attract the attention of investors in general, as they usually find such movements “exciting”. Therefore, it is not unexpected that network growth will pick up during these periods, as new traders will be drawn towards the coin.

While the spikes caused by these volatile price movements were only temporary fluctuations, Polygon Network’s average growth value has been steadily rising lately. This could be an optimistic sign for MATIC, as it indicates that not only is Origin getting in an influx of new users, but the rate at which they join the chain has actually been slowly accelerating.

Historically, such adoption has proven to be based on the price of the cryptocurrency, though the visible effects from it may only be seen over longer periods of time.

Over the past month (the period when this upside in network growth occurred), MATIC has risen about 21%, with assets up 10% in the past day alone. Of course, this new high backed by more adoption could be a positive for its sustainability, though it certainly isn’t all in the matter.

matic price

At the time of writing, Polygon was trading around $0.73, up 5% in the past week.

MATIC looks to have rapidly risen during the past day | Source: MATICUSD on TradingView