MATIC and SOL Display Outperformance as Markets Look to Bounce

MATIC and SOL, two rising chains that are starting to get increasing attention, display strength as the market makes a comeback.

By
Wilfred Victor
on
June 7, 2021
Category:
Blockchain News

Polygon Network

Polygon network thrives as an Ethereum Layer-2 scaling solution. It provides a highly scaled chain and a speedy transaction to continue to attract usage and growth. Since the rebrand from MATIC, the chain has continued to soar in adoption as many DeFi strong hands seek a better chain with cheaper fees than what is currently obtained in Ethereum.

MATIC 4hrs Price | Source

MATIC, Polygons native coin, could be the indicator of a renewed market bounce indicated by the current fat solid green candle between the market price of $1.5 and $1.7, showing buyers absolute control of the market.

And if the RSI and MACD are anything to go by, MATIC rally may sustain upwards of $1.81 towards its previous highs. MACD bullish crossover has occurred, and the RSI is well above 50, presenting a really strong price action for bulls to sustain.


The Strength of Polygon 

Why has MATIC maintained this strength? For obvious reasons, the network attempts to lower gas fees and speed up transactions compared to its mother chain Ethereum. It has continued to take advantage of this; despite the recent market dips, it has shown strength in sustaining its price momentum. But concerns are that this may not continue as Ethereum is set to release the ETH 2.0, which will significantly scale the network and reduce fees later this year or 2022. A move the network CEO still insists in favor of Polygon Chain.

“Ethereum 2.0 will become 64 times more scalable than Ethereum is now, but the demand is 1,000 times more than where we are. You will need L2 scalability,” Nailwal told CoinDesk.

Another reason for the strength may come from the strategic investment the network has received from well-known Billionaire Mark Cuban. The undisclosed amount has been called a “sizeable investment” by Nailwal Polygon CEO. Mark Cuban is said to be a Polygon user and has integrated the network in his Lazy.com website. This Cuban portfolio company allows people to display non-fungible tokens (NFTs) easily.  


Solana Chain

Early in the year, Solana Chain started getting the attention of users who, as usual, wanted the luxury of both cheap fees and fast transactions. Due to these benefits, the chain has soared in usage, prompting new projects to build on them, with many projects extensively covered by BSC News sister network Solana News.

SOL 4HR Chart | Source

Judging by the current analysis on the chart, SOL Solana native coin is in an ultra bullish mode. For one, the price is firmly above the 20, 50, and 200 EMA and has been making a bit of higher highs since the last market correction around the $30 price region.

SOL RSI and MACD on 4HR Chart | Source

Sellers’ attempt to push the price lower on June 4 failed, resulting in a bounce upwards to its current price, which is very much likely to be sustained than not. Its RSI and MACD indicate a bullish trend; although MACD looks indecisive in the 4hrs, they are bullish on the daily chart.

SOL RSI and MACD on Daily Chart | Source

The chain has continued to buzz activities on its Twitter social media presence despite achieving more than 6000% year-to-date return for investors. This includes its concluding Hackathon tagged SolanaSZN and various projects building nonstop.


In Conclusion

As Bulls seem to start the takeover of the market, SOL and MATIC may pose enormous gains for investors and maybe worthy coins to consider. However, keep in mind the market is filled with uncertainties, and events may change as fast as they are made.

Tags:
No items found.
Wilfred Victor

Ace finds himself as a blockchain enthusiast who is focused on growing with the entire crypto sector. He is an energetic and passionate writer who believes that all things are achievable.

Text Link

Lorem ipsum dolor sit amet, consectetur adipiscing elit. Suspendisse varius enim in eros elementum tristique. Duis cursus, mi quis viverra ornare, eros dolor interdum nulla, ut commodo diam libero vitae erat. Aenean faucibus nibh et justo cursus id rutrum lorem imperdiet. Nunc ut sem vitae risus tristique posuere.