The bearish price action across the crypto market could be exerting pressure on Polygon (MATIC) into Monday, but this cryptocurrency could soon enjoy quite the surge once the mood picks up, powered by strong fundamental developments. At the time of writing, MATIC/USD is trading at $1.54.
Will Uniswap Move to Polygon?
One of the most interesting updates is a proposal the popular Layer 2 scaling solution has shared on the Uniswap’s Governance Forum, suggesting deploying the Uniswap protocol on Polygon’s ecosystem. According to the networks developers, doing so can offer a sharp increase in user base, far lower transaction fees and increased user activity for one of the biggest names in DeFi.
The Polygon team is offering incentives to Uniswap to adopt its infrastructure, promising the allocation of a significant amount of capital from its treasury to boost liquidity, and offering several non-financial activities to foster its growth. It attempts to woo the Ethereum’s largest DEX stating that its ecosystem feels incomplete without DeFi’s flagship project. The interest would be two-sided as Uniswap community members had previously proposed such a move, and garnered considerable support for the proposal.
Other Fundamentals Supporting MATIC
Polygon is also set to rise in popularity in value when is the bearish sentiment reverses after one of the largest centralized exchanges in the crypto space, Crypto.com, announced that it was integrating with Polycon to allow its users to carry out Ethereum deposits and withdrawals at a faster and cheaper rate. This move will benefit Crypto.com‘s users preventing them from suffering Ethereum’s high gas fees and network congestion issues.
In addition, MATIC could also find support from Polygon making a strategic investment in social NFT platform DeFine recently. The partnership will enable innovation in making it easier for non-crypto users to enter the world of NFTs and drive up social interaction and engagement between creators and users of NFTs in the digital space. The move will enable Polygon to expand its NFT footprint and focus on bringing more social features into the space.
MATIC could also find an uptick in investor interest after being listed on leading crypto exchange OkCoin for staking. The crypto exchange recently announced the addition of Polygon’s native token on Earn, providing its users staking options with zero fees and high APYs on users’ MATIC deposits.
MATIC/USD Technical Analysis
On the 4-hour chart of MATIC/USD, moving averages as well as the MACD are flashing strong sell signals. However, the momentum indicator points to the presence of some buyers as well.
Polygon’s price remains weak under the pivot point at $1.60 but the immediate support at $1.28 is holding up well. We may see the price rising once again to cross the pivot point amid an uptick in buying pressure. Although, increased selling pressure could see the support being tested, so keep a close watch on this level.