Polygon (MATIC) Makes Final Splash: Can MATIC Break Out for a $1.73 Rally?

Polygon has recently finished the final release of the native token, MATIC, in the market, providing the foundation for the adoption of Polygon 2.0. The transfer comprised 273 million MATIC tokens with a value of around $253 million to the Matic Foundation and is a timely milestone as the whole MATIC supply is now in circulation. The event took place during the evening of February 21, 2024, and has been a central point for the market watchers and participants too.

Transition to Polygon 2.0

Polygon is a leader in Ethereum scaling solutions, always developing to improve its ecosystem. The last token release follows its roadmap to Polygon 2.0, bringing an improved version of its platform. The upgrade aims to cement Polygon’s place in the blockchain industry by introducing a new token, POL, which will be the central currency in the Polygon ecosystem. The switch from MATIC to POL, the long-term vision of the project, is expected to last for four years.

The post-token release moment, however, registered a MATIC dip to $0.94 value. This price action has been observed critically, given MATIC’s historical $1 resistance. However, at press time, the bearish rally had cooled off, with prices exchanging hands at $0.9637, a 1.38% decline from the intra-day high. MATIC’s market capitalization and 24-hour trading dipped by 1.30% and 17.58%, respectively, to $9,260,629,631 and $634,109,79.

Nevertheless, analysts consider this to be a short-term hindrance and demonstrate by below-the-surface patterns that an optimistic future is still appropriate. An analyst noted the formation of the symmetrical triangle, suggesting what could be a substantial rally and reaching as high as $1.73, as long as MATIC sustains a close above $0.96.

Comparative Performance and Efficient Analysts

MATIC has, however, faced difficulties in market performance compared to its peers despite being a significant Layer 2 scaling solution in Ethereum. Within the last year, MATIC declined 32%, with other Layer 2 tokens going ahead of it, i.e., OP and SKL. Nevertheless, the market mood is positive. Analysis indicates that MATIC is set to stage a massive comeback, with forecasts giving an anticipated wave towards the $1.8-$2.0 line influenced by market dynamics and FOMO.