Is Polygon (MATIC) a Good Investment in 2024?
Polygon — previously referred to as the Matic Network — was established in 2017 by Indian engineers Sandeep Nailwal, Anurag Arjun, and Jaynti Kanani. It is an ERC-20 token, layer-two blockchain network based on Ethereum.
The rebranding of Polygon in 2021 indicated a transition from Matic's initial goal of being a scaling option for various blockchains and focusing more on Ethereum. Comparing Polygon to DeFi coins and popular cryptocurrencies reveals how different it is. Contrary to the blockchain-based transaction processing used by Bitcoin, Dogecoin, Litecoin, and Dash, Polygon is designed to speed up the execution of decentralized apps on the Ethereum network.
Although Polygon has cleared the scaling issues that Ethereum has been known for, you may be questioning whether it is worthwhile to invest in this cryptocurrency or not. The potential price predictions for Polygon in the near term and the benefits and drawbacks of investing today are examined below by the Traders Union.
Should i buy Polygon crypto? It's up to you to decide, study expert forecasts and invest only free funds.
What is Polygon (MATIC)
Polygon is a framework for layer-two scaling solutions that is highly organized and user-friendly for creating decentralized applications running on Ethereum. This venture has the support of Binance and Coinbase.
Polygon makes use of a decentralized platform of PoS (proof-of-stake) validators. The decentralized app transactions that Polygon enables are fast, safe, and essentially cost-free. Polygon's Plasma Framework also allows the development of globally accessible DeFi applications on a single fundamental blockchain.
The Polygon network aims to address Ethereum blockchain issues, including high transaction costs and network congestion, without compromising security. The project attempts to solve the scalability problems that many blockchains have in order to promote the widespread use of cryptocurrencies.
MATIC tokens are exchanged on the Ethereum blockchain. This is because Polygon was created to aid in scaling Ethereum using side chains. You can engage in transactions and invest on the Ethereum blockchain with MATIC without being confronted with astronomical costs or sluggish transaction rates. Moreover, the speed of transactions on the Polygon blockchain can reach up to 7,200 per second.
Because the Matic network has added various features to the Ethereum blockchain, the venture has attracted the interest of multiple developers, resulting in the cost of MATIC steadily increasing. According to many observers and professionals in the crypto field, Polygon can make Ethereum more viable and help it maintain its position as the leading smart contract network for developing and using decentralized apps. Others imply that Polygon will keep being the scaling option of choice for many players in the DeFi industry.
Polygon price performance
| Polygon Price 1y Return | -59.59% |
| Polygon Price 1m Return | 12.34% |
Polygon price prediction for tomorrow, for 1 week – by days
| Date | Day of week | Price | Change |
|---|---|---|---|
| 10/21 | Friday | $0.824743 | -1.91% |
| 10/22 | Saturday | $0.808462 | -3.84% |
| 10/23 | Sunday | $0.857286 | 1.96% |
| 10/24 | Monday | $0.873770 | 3.92% |
| 10/25 | Tuesday | $0.857123 | 1.94% |
| 10/26 | Wednesday | $0.831134 | -1.15% |
| 10/27 | Thursday | $0.875150 | 4.09% |
Top 6 reasons to buy Polygon in 2024
Crypto experts view Polygon (MATIC) as a reliable investment. Anyone interested in Ethereum and its collection of projects is probably a fan of MATIC. If you’re thinking, is it a good time to buy Polygon or not? Have a look at some compelling reasons for investing in this cryptocurrency.
The price has been corrected significantly
During the 2023 market downturn, Polygon has fared considerably better than several other cryptocurrencies. It was able to hold onto some crucial support levels and has even begun to climb again instead of steadily losing value. In the summer of 2023, this cryptocurrency announced important partnerships with Disney and Coca-Cola, which helped boost its growth.
How High Can Polygon (MATIC) Go? Can MATIC Reach $100?Offers a secure framework for interconnected blockchains
Polygon plans to provide a platform for blockchain networks in the long term that will let users build interconnected blockchain networks. In essence, this represents an internet of blockchains. Developers can exercise a lot of freedom in creating networks if this happens. They will be able to develop independent, adaptable, and persistent blockchains. Given Polygon's expansive intentions, the worth of this currency may be boosted in the long term.
Polygon scales quickly and has numerous partnerships
Polygon assists other apps and blockchains in collaborating with their network and other networks, reducing expenses significantly. In addition, Polygon seeks to simplify immediate blockchain transactions and the complexities of scale.
Polygon accomplishes up to 7,200 transactions for each block on every side chain using the Plasma Framework based on the POS mechanism. This speed of transactions has resulted in many partnerships. Over 400 DAPPS utilized polygon's network in 2021. This included business-to-business technology, NFTs and gambling, oracles, and DAPPS in DeFi.
Curve Finance, Sportx, Augur, Reef Finance, Ocean Protocol, StakeHound, Paralink Network, UniLend, OpenDAO, Band Protocol, Chainlink, and the Umbrella Network are a few of the most well-known collaborations that have been created.
The news of OKEx's collaboration with Polygon has been its most significant historical success. Through their collaboration, OKEx and Polygon's networks could move tokens more quickly and affordably. Users of OKEx can transfer money to and from the Polygon Network.
The legitimacy of Polygon was further established by such a collaboration, which will lead to other FinTech businesses forming partnerships with the side chain network.
Polygon is eco-friendly
Compared to several other cryptocurrencies, Polygon is more eco-friendly to become carbon-negative and environmentally favorable in the future. This might promote Polygon's acceptance and win investors' support. It is undoubtedly worthwhile to invest in it because users can quickly transfer MATIC to and from the Ethereum network, deal with tokens, and then return currencies directly to the Ethereum blockchain.
Compatibility with EVM
Developers can create their decentralized applications using the software framework known as the EVM (Ethereum Virtual Machine). Ethereum has overtaken all other decentralized app platforms in terms of popularity due to EVM's flexible and user-friendly nature. Developers may easily transfer their applications to Polygon because it is EVM compliant. SushiSwap and Aave are two popular Ethereum applications that have already been made available on Polygon.
Polygon SDK
The Polygon network revealed the arrival of the Polygon SDK in January 2023, substantially making the process easier for developers to create a multichain network. Developers can build isolated chains that are totally in charge of their security using the Polygon SDK. A specialized PoS bridge network would link these independent side chains to Ethereum.
Polygon (MATIC) price prediction for 1 day and 1 weekTop 3 reasons not to buy Polygon (MATIC)
You must be conscious of the risks involved if you are still wondering whether MATIC is a good investment or not. If a proper investigation of the associated risks isn't done, investing in MATIC could end in losses. The following are some potential drawbacks to buying this coin.
1. Ethereum’s attachment to the network
The fact that Polygon is linked to Ethereum is a significant disadvantage for this currency. The network is up against competition from other currencies as well as Ethereum, a currency upon which it is strongly dependent.
Polygon's owners contest this, arguing that since the network offers speedier transactions, it will still be beneficial if Ethereum 2.0 becomes a reality. However, another programmable blockchain could displace Ethereum in the upcoming years, ousting and replacing Polygon.
Moreover, many other blockchain network initiatives like Polkadot and Avalanche could pose a potential risk for Polygon. Both these projects may begin to thrive in the upcoming years, removing the need to market Polygon.
2. The network can be insecure
The Polygon infrastructure was reportedly hacked, and the crooks made off with thousands of MATIC tokens. The hacking posed a great threat for investors because it implies that the system isn’t as stable as it used to be. As a result, many investors can become discouraged and switch to alternative and more secure cryptocurrencies.
3. Price volatility
Every cryptocurrency is volatile; however, when trading, crypto coins occasionally face sharp price declines that could harm a user's investment. It is difficult to forecast who will win the competition because Polkadot, Avalanche, and Cosmos are already MATIC's rivals. Traders must therefore monitor their positions and know when to trade long-term.
Top 5 tips for buying Polygon
1. Always make investments according to your affordability
It is important to only invest what you can risk losing when making financial decisions. This is particularly true when purchasing volatile commodities like cryptocurrency. The cost of Polygon is extremely volatile and subject to sudden changes. This implies that you may risk all of your capital if the price drops significantly.
2. Analyze charts thoroughly to identify key positions
You must analyze the price trends and historical data using mathematical indicators. By doing this, you may be able to anticipate price trends in the future and make wise investment decisions.
3. Gradually make investments at various prices
The key to investing successfully in Polygon is gradually and at different price ranges. This will lower your risk and assist you in balancing your expenses.
4. Utilize staking
One of the best ways to boost earnings from your investment is to stake Polygon. You can generate passive income by making a yearly interest contribution to the network's safety and long-term sustainability.
5. Include Polygon in a larger portfolio of investments
Never put all of your money into Polygon. You should always broaden your portfolio of investments. This entails investing in stocks, fiat currency, and other viable bonds.
Where to buy MATIC?
Should I Invest in Polygon (MATIC) Right now?
Get Polygon price prediction – from 5 minutes to 1 week
Conclusion
Polygon (MATIC) is deemed to be a trustworthy coin. Investors have already reaped substantial profits from it, and it is expected to increase steadily in the generations to follow. The coin is prepared for significant growth, making it a potential investment option for knowledgeable and committed investors.
However, before investing in this cryptocurrency, you should weigh all the dangers and conduct thorough research because the market is unpredictable.
FAQs
Does Polygon crypto have a future?
It is difficult to predict the future of any cryptocurrency, including Polygon (MATIC). However, Polygon has gained significant attention and adoption in the crypto community due to its low transaction fees and fast transaction speeds. As long as the platform continues to innovate and attract users, it may have a promising future.
Is Polygon a good investment 2022?
The decision to invest in Polygon (MATIC) or any other cryptocurrency depends on individual investment goals and risk tolerance. As with any investment, there are risks and potential rewards to consider.
Is it good to buy Polygon Crypto?
Whether it's good to buy Polygon (MATIC) or not depends on individual investment goals and risk tolerance. Polygon has gained significant attention and adoption in the crypto community due to its low transaction fees and fast transaction speeds.
Can Polygon reach $100?
It's difficult to predict the future price of any cryptocurrency, including Polygon (MATIC). While some analysts may have bullish price predictions for Polygon, it's important to consider that the cryptocurrency market is highly volatile and subject to various external factors, such as regulatory changes and market sentiment.
Is it wise to invest in MATIC in 2024?
In 2024, MATIC was successful in securing several significant collaborations, which benefited its investors greatly. Hence, most crypto enthusiasts consider it an excellent investment.
How much would Polygon cost by 2031?
A max price of $26.92731 is predicted for Polygon by 2031. By the conclusion of 2031, it is also expected that there will be an average trading price of $22.53.
Is MATIC powered by the proof of stake paradigm?
Yes, the proof of stake consensus mechanism forms the basis of Polygon. As a result, you can leverage MATIC to receive staking incentives.
Is MATIC accessible through renowned crypto exchanges?
Most cryptocurrency exchanges, including Coinbase, Binance, Kraken, and KuCoin, offer MATIC.
Team that worked on the article
Ivan is a financial expert and analyst specializing in Forex, crypto, and stock trading. He prefers conservative trading strategies with low and medium risks, as well as medium-term and long-term investments. He has been working with financial markets for 8 years. Ivan prepares text materials for novice traders. He specializes in reviews and assessment of brokers, analyzing their reliability, trading conditions, and features.
Olga Shendetskaya has been a part of the Traders Union team as an author, editor and proofreader since 2017. Since 2020, Shendetskaya has been the assistant chief editor of the website of Traders Union, an international association of traders. She has over 10 years of experience of working with economic and financial texts. In the period of 2017-2020, Olga has worked as a journalist and editor of laftNews news agency, economic and financial news sections. At the moment, Olga is a part of the team of top industry experts involved in creation of educational articles in finance and investment, overseeing their writing and publication on the Traders Union website.
Olga has extensive experience in writing and editing articles about the specifics of working in the Forex market, cryptocurrency market, stock exchanges and also in the segment of financial investment in general. This level of expertise allows Olga to create unique and comprehensive articles, describing complex investment mechanisms in a simple and accessible way for traders of any level.
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