Layer 2 network polygon It is said that he competed with ethereum-dencun-activation-goes-wrong/” rel=”nofollow”>ethereum in 2023, as both networks experienced the largest influx of new users. This fact has once again raised concerns about The price of MATICconsidering that such an achievement should potentially mean that new money was brought into the ecosystem last year.
Polygon and ethereum acquired the most users in 2023
According to a report by Blockchain analysis firm Flipside, Polygon and ethereum led the pack with 30.6 million users acquired in 2023. For further breakdown, Polygon is said to have acquired 15.24 million users, while ethereum attracted 15.4 million users. Meanwhile, these users are defined as people who carried out at least two transactions on the networks.
Despite falling about 160,000 behind ethereum's numbers, Polygon's numbers are still impressive considering it ranked ahead of bitcoin-booms-hash-rate-records-shattered/” rel=”nofollow”>other networks like bitcoin and solarium. The layer 2 network also outperformed other ethereum L2 networks such as Decision, Optimismand Basewhich registered 7.3 million, 3.3 million and 1.9 million acquired users, respectively.
Notably, Polygon went live as soon as 2023 began, setting the record for users acquired monthly with 2 million in January. Interestingly, January 2023 was the first time MATIC surpassed the dollar in a long time. It remained above that level until the end of April 2023. After that, MATIC traded below that level for most of the year, only surpassing the dollar towards the end of December 2023.
MATIC price at $0.74 | Source: MATICUSDT on Tradingview.com
Why hasn't MATIC managed to rise and stay above $1?
TO recent analysis by Blockchain intelligence firm ChainArgos suggested that the polygon team has been secretly selling MATIC tokens, something that could have explained the significant selling pressures that have increased at different times for the crypto token. This could also serve as a plausible explanation for why MATIC has struggled to stay above $1 despite enjoying strong profit.
The Polygon team was accused of not executing its token allocations according to the publicly stated plan, and part of the allocated funds accounted for some of the tokens that were sold. These secret sales, which have long gone unnoticed, are said to be eluded via linked wallets toward Binance cryptocurrency exchange.
So far, around 767 million MATIC have apparently been downloaded in these secret transactions. ChainArgos hinted at how these transactions have no doubts affected the price of MATIC on different occasions, as they noted that capital outflows are a “good indicator of an upcoming high and a subsequent downward movement.”
At the time of writing, MATIC is trading at around $0.73, up in the last 24 hours, according to data from CoinMarketCap.
Featured image from CoinGape, chart from Tradingview.com
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