Polygon Matic Down By Extra Than 20% in a Week Amidst Elevated in Onchain Exercise

The previous seven days have been tough for the Polygon MATIC market because it’s down by over 20%, as seen within the chart beneath. That is shocking as MATIC skilled a rally in mid-August, even breaking over some key resistance.

Whereas the crypto market has been up and down for the previous weeks, the precise the explanation why MATIC’s value has dropped beneath 20% is unclear.

This decline in MATIC value occurs when some key occasions happen and can occur quickly for the token.

On September 4, Polygon will likely be performing some upgrades by shifting from MATIC to POL token, and lots of exchanges like Binance are ready to welcome the migration of Polygon’s MATIC to POL.

The brand new POL token will change MATIC  because the chain’s native gasoline and staking asset, and that is a part of the rebrand that Polygon has deliberate since July 2023, the place they plan to transition to Polygon 2.0 to assist construct the mission as the worth layer of the web.

As famous by Santiment, the crypto analytics agency MATIC is experiencing a rise in on-chain exercise amidst value decline.

Santiment took to X (previously generally known as Twitter) and posted in regards to the spike in on-chain exercise for Polygon after declining for over six months.

📊 Polygon has been among the many many networks declining since crypto’s retrace started again in March. Nonetheless, a notable spike in on-chain exercise could also be an indication {that a} MATIC reversal could also be brewing quickly. Lively addresses and dormant coin spikes are widespread alerts previous this. pic.twitter.com/RY5NXe10ZW

— Santiment (@santimentfeed) August 28, 2024

As could be seen on the chart, the previous few days have seen a rise within the on-chain exercise, and that is notably noteworthy as 3,369 MATIC addresses have been energetic on the Polygon community on August 28, the second-highest day of the yr—and 69 billion MATIC Age Consumed (Dormant Coin Motion) spike.

As of the time of writing, MATIC is buying and selling round $0.4263, which is a 1.2% improve over the past 24 hours, down by -14.04% within the final month, and likewise down by -22.41% within the final yr.