- Polygon’s daily active users cross the 405,000 mark, outpacing Ethereum and Solana, largely attributed to the increased DeFi activity.
- Alongside growing user activity, Polygon also shows positive trends in the number of DeFi protocols and the performance of its native token, MATIC.
In the vibrant world of blockchains, Polygon has recently carved out an impressive niche, outperforming prominent Layer 1 platforms, Ethereum and Solana, in terms of daily active users. This rise in Polygon’s popularity is tied inextricably to the burgeoning sphere of decentralized finance (DeFi).
The Ascend of Polygon: More Than Just Numbers
Usually, Ethereum maintains supremacy in the blockchain realm with its massive DeFi operations. The platform has traditionally been a top choice for crypto users seeking to exploit DeFi possibilities. However, Ethereum’s considerable transaction fees have spurred an influx of DeFi enthusiasts towards Layer 2 blockchains such as Polygon, appreciated for their affordability and faster transaction times.
This shift has catalyzed a notable rise in Polygon’s daily user activity. Recent data from the DeFi aggregator site DeFiLlama indicates that in the last 24 hours, Polygon’s active users totaled 405,084. This surpasses Ethereum’s 332,000 and Solana’s 122,570 users during the same period, setting Polygon firmly ahead of the competition.
Moreover, it’s not only user activity that’s experiencing an uptick. The number of DeFi protocols on Polygon’s blockchain is also surging, with the current count standing at 445 protocols. This puts it just behind Ethereum (855 protocols) and Binance Smart Chain (BSC with 629 protocols) and elevates Polygon as the Layer 2 network boasting the most DeFi protocols.
MATIC: A Mirror to Polygon’s Success
As Polygon continues to make waves, its native token, MATIC, reflects the blockchain’s growing success. Over the last day, MATIC’s price saw an increase of more than 7%, marking its position among the top 10 performers in the crypto market. If Polygon continues its upward trajectory, MATIC might soon retest the $0.85 resistance.
However, this bullish momentum should be seen in the context of broader market dynamics. MATIC remains below its 100-day and 200-day moving averages, which might suggest a possible short-lived rally.
That being said, with trading volume up by 548% in the last day, suggesting heightened interest from a range of investors, it’s apparent that Polygon’s ascent has invigorated the bulls. As such, Polygon is demonstrating its resilience and establishing itself as a force to be reckoned with in the blockchain universe.