The cryptocurrency market is sitting in a crucial situation where things can go on either side depending on various factors. But for now, things are not looking good as Bitcoin could not hold the breakout level of $22.8K and closed below it, which resulted in the dump in all other cryptocurrencies. Here in this article, we will look into some of the statistics and compare what things have changed in the crypto market in the past twenty-four hours, and also go through one of a coin from the list of trending coins from CoinMarketCap.
Overview of Crypto Market
As I already said Bitcoin failed to hold above the breakout level and closed below that level. Other altcoins followed the path of Bitcoin and resulted in a two-digit fall. At the time of writing this article, the price of Bitcoin is $21,997 around 3.5% down in twenty-four hours. It is important to notice that the start of the week is not very good for the crypto market and there are many things coming in this week like FOMC interest rate hikes, Tech companies disclosing their earnings, and others that could affect the crypto market. This week will be super volatile considering those events.
As you can see in the picture below, the dominance of Bitcoin stayed pretty stable in the last twenty-four hours and is now at 40.28%. There was one sudden drop in the dominance down to ~26% which I suppose is a technical error otherwise, there is no explanation for that drop. And the Fear and Greed Index of Bitcoin is still standing at 30, same as the yesterday.
At the rightmost part of the picture, you can see the comparison between the total long and short positions across the cryptocurrency exchanges. Currently, there are 55.34% long positions compared to 44.66% of short positions. Yesterday there were ~67% long positions, which shows that the bulls have adjusted their positions accordingly and many of them shifted to the bears' side. Other stats related to the cryptocurrency market are as follows:
Market Cap: $1.04 Trillion (-3.23%)
24h Volume: $1.55 Trillion (+0.29%)
Trending Coin Of The Day
In this section, we go through the coin that is at the top of the trending coins list on CoinMrketCap. We look into their basics and dig enough into them to get an overall understanding of the project.
Polygon (MATIC)
Polygon is today's coin of the day. Polygon, previously Matic Network is one of the major layer 2 blockchain solutions to scale up the Ethereum ecosystem by providing cheap and fast transactions. To this date, Polygon is the most successful among the various projects that are planning to scale the Ethereum network, and not to forget it is backed by the industry leaders like Binance and Coinbase.
Polygon was launched in 2017 by a group of three people, two of them were experienced blockchain developers (Jayanti Kanani, and Sandeep Nailwal) and one business consultant (Anurag Arjun). The project survived the fall of 2018 and came forged to become one of the most successful crypto projects. Currently, the project is ranked 13 on CoinMarketCap. MATIC is the native token of the project, which can be utilized in the Polygon ecosystem. At the time of writing this article, the MATIC token is trading at 82 cents, down by ~6% in the last twenty-four hours.
You might have already got an idea about how large Polygon is, but the actual vastness of the project is determined by the number of users who regularly use it. In the picture below you can see the number of unique addresses holding MATIC in their wallets, the number stands at 466,444. With that number of users, Polygon is one of the most used networks in the blockchain space. We have top decentralized applications supporting Polygon like 1Inch aggregator, Uniswap, OpenSea, and many others which contribute to the growth of the Polygon network.
With the number of unique addresses, we got an idea that how widely used the Polygon network is, now let's check the distribution of MATC tokens across the top holders. According to the data from CoinMarketCap, top-10 addresses hold 70.86%, and top-100 addresses hold 87.78%. Matic is also one of the secure networks having a security score of 92 on the Certik. With that score, Polygon is among the top 10 all Skynet projects. You can check other specs related to the Polygon audit in the following picture.
Related links to the Polygon:
Official website: Bring the World to Ethereum | Polygon - Polygon
Audit: Polygon - CertiK Security Leaderboard
MATIC @ CMC: Polygon price today, MATIC to USD live, marketcap and chart | CoinMarketCap
Conclusion
Considering the upcoming events this week like various tech companies disclosing their earning reports, FOMC interest rate hikes, and others are going to affect the market so we can predict that the market will be highly volatile this week. So it is better to stay away from the trades that you are not confident about and strictly stay away from the leverage position because a volatile market can liquidate either side of the leveraged positions in no time.
And talking about the coin of the day, MATIC. It surely is one of the best coins to accumulate during this bear market but there are risks involved. With the launch of Ethereum 2.0, there are uncertainties in the use cases of layer 2 solutions and Polygon falls into that uncertainties. But yes, Polygon has the most active developer community which continuously comes up with innovative solutions. So if anyone is looking for long-term crypto projects then one can consider having MATIC in their portfolio, with the proper understanding of the risks involved.
Get in touch on other platforms