3 reasons why Polygon (MATIC) increases 100% + during a bear market

Unlike bull markets, where traders can basically throw an arrow at a list of coins to pick one that will go up, bear markets require much more effort to find projects that can perform well in the long run.

One project that has continued to show signs of mainstream adoption despite the onset of a crypto winter is Polygon (MATIC), a layer-2 scaling solution for the Ethereum network (ETH) that seeks to build a sustainable Web3 infrastructure on top-smart. contract platform.

Data from Cointelegraph Markets Pro and TradingView show that since reaching a low of $ 0.316 on June 18 during the worst-selling cryptocurrency market, MATIC has risen 118% to $ 0.70, with the price now at a high level of support and resistance, which was first published in March 2021.

MATIC / USDT 1-day chart. Source: TradingView

Three reasons why the long-term outlook for Polygon remains positive are its continued adoption of mainstream devices, the migration of more projects to the Polygon network and an increase in the platforms offering floating response services to MATIC.

Big adoption announcements

Adoption of influential mainstream companies is one of the best forms of marketing that a blockchain platform can receive as it exposes them to a large pool of potential users.

In the last few months, Polygon has established partnerships with Coca-Cola, which released a pride series nonfungible token (NFT) collection on the network, and Reddit, which announced that they were launching an NFT marketplace on the Polygon network on July 7th.

Most recently, it was announced that Polygon has been selected by Disney to be the only blockchain included in the 2022 Disney Accelerator program, a “business development program designed to accelerate the growth of innovative companies from around the world.”

Protocols are launched on Polygon

Further evidence of the growing popularity of Polygon as a go-to scaling solution for Ethereum has been the constant migration and integration of projects with the L2 network.

Apart from the recent NFT projects migrated to Polygon, other new additions include the unauthorized credit protocol RociFi and the WOO network’s multi-chain decentralized exchange.

MATIC has also seen a growing number of platforms offering floating bet for the token, enabling holders to earn bet rewards.

Related: Terra projects merge in migration to the Polygon ecosystem

Traders expect resistance of $ 0.75

As for what comes next for MATIC award, market analyst and pseudonym Twitter user Crypto Tony submitted the following chart, suggesting that the token could go higher against resistance at the $ 0.75 level.

MATIC / USDT 4-hour chart. Source: Twitter

Crypto Tony said,

“Looking for a turnaround of the EQ up to the high range. Would love to see us consolidate a little further below this range.”

This view was further enhanced by Trader McGavin, who submitted following chart, noting that MATIC is “Completing the rising triangle and looking ready to erupt in the coming days.”

MATIC / USDT 1-day chart. Source: Twitter

Handler McGavin said,

“A breakout would open up a shift to $ 0.80 and then $ 1. Tons of positive catalysts over the last few weeks that have driven this big move away from the lows.”

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should do your own research when making a decision.