Polygon, one of the most dynamic platforms in the blockchain ecosystem, has recently managed to attract everyone’s attention by surpassing Ethereum and Solana in terms of active users. This increase in Polygon’s popularity is attributed to the growing ecosystem and strong structure in the DeFi sector.
So far, Ethereum has established dominance in the blockchain sector with its massive DeFi operations. The platform has been the best choice for crypto users who want to benefit from DeFi solutions and opportunities. However, as Ethereum’s considerable transaction fees started reaching incredible amounts, users turned to Layer-2 protocols like Polygon, which offer lower fees and faster transaction times.
This shift has led to a significant increase in Polygon’s daily user count. The latest data from DeFi data collection site DeFiLlama shows that Polygon’s active user count reached 405,084 in the last 24 hours. During the same time period, Ethereum had 332,000 users and Solana had 122,570 users, clearly indicating Polygon’s strong position in the competition.
Moreover, the increase is not only limited to user activity. The number of DeFi protocols on the Polygon mainnet is also growing, with 445 protocols currently available. While the Ethereum network has 855 protocols and the Binance Smart Chain has 629 protocols, Polygon has the highest number of DeFi protocols among Layer-2 networks.
Volatility in Polygon (MATIC) Price: The Effect of a Successful Ecosystem
While the price of MATIC continues to be volatile, it reflects the increasing success of the Polygon network. If stability continues in the Polygon ecosystem, MATIC could soon test the $0.85 resistance. However, for this rally to be sustainable, market dynamics also need to remain strong. MATIC is currently below the 100-day and 200-day price averages, which could indicate a short-term rally. For the rally to continue, MATIC needs to close above these levels on a daily basis.