For around $ 2 and a high profit, all that ALGO, MATIC needs is …
After a month of sharp ups and downs as well as a lot of market euphoria, some coins have enigmatic trajectories that leave participants stunned and confused. One thing is for sure, however, the maturity of the crypto market and the strength of mid-cap coins took everyone by surprise.
While ADA, SOL, LUNA and AVAX created new ATHs, others such as ALGO saw large increases. On the flip side, MATIC, which ranked higher than a month ago, has slipped while new coins like ALGO are entering the top 20.
However, a common benefit of ALGO and MATIC is that it offers an easy entry point and stable profit for newbies as both are under $ 2. At press time, ALGO is up nearly 30% in the past 3 days, triggering mixed predictions for the coin.
ALGO 4 Hour Price Chart | Source: Tradingview
On the flip side, MATIC is rising more slowly and struggling below the $ 1.35 mark. But where is the market going in terms of investment returns and network growth?
Growing user base
While MATIC appears to be struggling on the price front, Polygon’s user base has grown 38.52% on the week as the network has an average of over 287,000 daily active users. On September 27, Polygon had more users than Ethereum for the first time, rising to over 350,000.
There are many factors catalyzing this growth, such as the intensity of NFT adoption and the growth of the gaming industry. It is noteworthy that since July the number of dealers on Polygon OpenSea has increased 45.5 times and the number of NFTs sold is 17.5 times higher.
Average daily active users | The source: Our network
The number of active Algorand addresses has also grown steadily. In fact, the network recently hit the milestone of 13.5 million registered addresses. Part of the reason for this surge is news that the El Salvador government is building infrastructure on Algorand, while the majority of ALGO’s price increase is due to a $ 300 million DeFi innovation fund launched in December 10th September 2021 .
Algorand address growth | The source: Algorand
On September 29, Algorand announced the launch of the Algorand Virtual Machine (AVM), a Layer 1 protocol upgrade. The upgrade is designed to improve the scalability of decentralized applications for developers and institutions, enable immediate transaction completion and maintain a negative carbon footprint. Accordingly, it also played a role in the recent price pump of more than 30%.
The way to the ATH seems difficult
While both the burgeoning networks of ALGO and MATIC add to market confidence, there is considerable skepticism when it comes to investing in or trading in these altcoins. For example, ALGO has high long-term and short-term ROI but is still 73.14% lower than ATH as of June 2019.
On the flip side, MATIC’s one-month ROI fell to -26.74% as the price fell 25% from its local high of $ 1.70 in September, and the spot market looks relatively boring for MATIC as a result the volume has neither risen nor even come close to the volume in May. ALGO’s trading volume also did not show an upward movement at the time of going to press.
While the price could be said to be rebounding, these two altcoins need higher inflows and a strong push from the bulls to turn key resistance levels into support and hold positions above that level for more profit.
MATIC 4-hour chart | Source: Tradingview
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According to AMBCrypto