Why MATIC Cryptocurrency Could Be a Bargain at 60 Cents – DataDrivenInvestor
FINTECH | CRYPTOCURRENCY
MATIC, the native token for the Polygon network, has risen 55 percent during the past week. In this bear market, there’s no guarantee it will continue to rise
I…….
FINTECH | CRYPTOCURRENCY
MATIC, the native token for the Polygon network, has risen 55 percent during the past week. In this bear market, there’s no guarantee it will continue to rise
Image by Лечение Наркомании from Pixabay — Modified with PowerPoint Designs by the Author.
Why Is MATIC Rising?
The recent rise in the MATIC price is believed to be due to its achievement of “carbon neutrality.”
“Polygon (MATIC) recently achieved carbon neutrality (a balance between emitting and absorbing carbon). This has led to a surge in MATIC price in the last few days, jumping up by 30%. The hourly trend for MATIC has broken out of the ascending triangle pattern. The next resistance is expected at $0.73 level.
Polygon has made a major first step toward becoming carbon negative with the retirement of $400,000 in carbon credits representing 104,794 tonnes of greenhouse gasses, or the entirety of the network’s CO2 debt since inception.” — WazirX Trade Desk Blog 21 JUNE ‘22.
Everybody wants to save the planet, and carbon neutrality is a good start.
What Is MATIC?
MATIC is the native token for the Polygon Network. It is a Proof of Stake (PoS), layer-2 scaling solution that focuses on reducing scalability complexities within blockchain transactions using Plasma frameworks on the Ethereum chain.
“MATIC is the native cryptocurrency of the Polygon network and is used to help drive development across the network and can be used for staking and paying for transaction fees. Users can earn MATIC tokens by providing computational resources and services to the Polygon network.” — Kraken.
Therefore, a better question might be what the Polygon Network is used for and how it affects the token’s price.
Anyone who invests in cryptocurrency and even many that don’t know about Ethereum (ETH). It is the number one decentralized finance (DeFi) center for activity and development.
Also, it is the most secure and efficient method of creating smart contracts blockchains for nodes and miner activity. These blocks are nearly impossible to falsify (they’re immutable) because you would have to change every other block on the ledger with references to that block.
“Blockchains are made up of a series of individual blocks. Each block contains information about transactions conducted within a given time period. They also contain a unique identifier to differentiate them from every other block in the chain. Blocks are created by solving cryptographic problems. The process of solving these problems is known as mining.” — Coin Market Cap.
However, due to its demand and popularity, it is frequently congested, has high user fees (gas fees), and doesn’t work efficiently with other blockchains.
On the other hand, Polygon has the framework to build interoperable blockchains on Ethereum to solve these drawbacks.
For more information on MATIC, read my article What Is the Difference Between Fantom (FTM) & Polygon (MATIC).
Essential MATIC Statistics
Millionaires are made during bear markets. You can’t continue to chase the “herd,” buy at or near the all-time high (ATH) and expect to make money with any investment vehicle.
Actually, that $.60 price is still 79 percent below its ATH of $2.92 set on 21 DEC ’21, but nearly 20,000 percent higher than its all-time low (ATL).
Don’t let fear keep you from achieving “crypto freedom” during the next bull run. On the other hand, don’t let your emotions and the fear of missing out (FOMO) rule your investments. Do the research.
Yesterday, nearly one billion USD worth of MATIC tokens traded hands.
WOW! POLYGON MATIC UP 55% AFTER GREAT NEWS! Should We Buy Polygon Matic Now? Matic Price Prediction!
#MATIC #Polygon $MATIC
MATIC Data Current as of 25 JUN ‘22
“The live Polygon price today is $0.602972 USD with a 24-hour trading volume of $886,433,714 USD. We update our MATIC to USD price in real-time. Polygon is up 2.39% in the last 24 hours. The current CoinMarketCap ranking is #18, with a live market cap of $4,824,674,136 USD. It has a circulating supply of 8,001,489,375 MATIC coins and a max. supply of 10,000,000,000 MATIC coins.” — Coin Market Cap.
MATIC to USD Conversion Chart All-Time
MATIC to USD Chart All-Time. Screenshot of CoinMarketCap 25 JUN 22.
Final Thoughts on MATIC & the Polygon Network’s Recent Move
I would not wait for a pullback in the price. MATIC could easily keep climbing to $1.00, and you would lose out on 40 cents for each token owned. With just a $100 investment, you could make $40 in just a few short weeks.
However, crypto is a rollercoaster ride of volatility, so you could very well buy at 60 cents and hold it for the next run if it pulls back immediately. I would not hold it past $.80 or $1.00, depending on how much you invest, unless you plan to hold it long-term and wait for the next bull run, which could be an intelligent option.
I say that because coins held for less than a year incur a much higher tax liability than long-term investments. So, consider what taxes and fees you’ll pay before buying and have an exit strategy.
“An exit strategy is a contingency plan that is executed by an investor, trader, venture capitalist, or business owner to liquidate a position in a financial asset or dispose of tangible business assets once predetermined criteria for either has been met or exceeded.” — Investopedia.
For example, an exit strategy might be a down payment on a car, house, or other expensive purchase or investment.
Of course, there’s also the possibility it doesn’t hit your target price. Do your own research (DYOR) and never invest money you cannot afford to lose in any investment vehicle.
What’s more, you should not use your emergency funds to invest. If an emergency comes up, you’ll have no choice but to sell, and in this bear market, that could mean you’ll lose money.
DISCLAIMER: This article is for entertainment and informational purposes only. It should not be considered financial or legal advice. Not all information will be accurate. I am not a financial adviser, and you should consider anything I write as informational and friendly banter to show you what is possible if you invest your money in these vehicles. However, there are no guarantees. Consult a financial professional before making any significant financial decisions.
Note: This post contains affiliate links. Read my disclosure statement for additional information.
About the Author Photo by Jean Springs from Pexels
Stephen Dalton is a retired US Army First Sergeant with a degree in journalism from the University of Maryland and a Certified US English Chicago Manual of Style Editor. Also, a Top Writer in Nutrition, Investing, Travel, Fiction, Transportation, VR, NFL, Design, Creativity, and Short Story.
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