- Polygon network ranks 2nd in new developers, but developer activity decreases by 45.86%.
- MATIC prices struggle amidst a wider market bearish trend, flatlining despite network advancements.
The Polygon network is on the precipitate of a major move, but the trajectory of its native token, MATIC, remains uncertain. Despite ranking 2nd in new developers and accumulating 4,409 GitHub commits, Polygon sees a significant 45.86% decrease in developer activity. Meanwhile, MATIC prices face challenges amid a broader market bearish trend.
At the time of press, MATIC trades at $0.7529, registering a nearly 5% loss in the last 24 hours and a weekly decline of 15%. Despite being an Ethereum layer 2 scaling solution, MATIC has slipped outside the top ten coins, currently holding the 16th position by market cap, just under $7 billion.
Notably, trading volume for MATIC has seen fluctuations, dropping from $800 million on January 11th to around $313 million by January 17th, recovering slightly to just over $500 million at the time of writing. Adding to the pressure, bankrupt crypto lender Celsius has initiated the transfer of part of its MATIC holdings to various exchanges, indicating an imminent sell-off.
The upcoming Polygon 2.0, a comprehensive network revamp, and the introduction of POL token offer potential catalysts for a MATIC rally. Despite recent challenges and a wider market downturn, these developments could renew interest among investors, aligning with a positive market outlook for sustained growth in the long term.
