The altcoin frenzy is continuing through spring and into summer, and it is exposing some blockchain issues. Scalability is becoming a huge problem as transactions of hundreds of different types of altcoins congest blockchain ledgers everywhere. Polygon (CCC:MATIC-USD) hopes to fix the scalability conundrum with its product. And as a token supporting such a necessary function right now, Polygon (MATIC) price predictions are looking optimistic.
Ethereum’s (CCC:ETH-USD) high fees have many fed up. They are reaching all-time highs today of $64. The culprits behind the price hike are both the increase of interest in ETH, as well as the huge volume of transactions of the Dogecoin (CCC:DOGE-USD) alternative, Shiba Inu (CCC:SHIB-USD).
Doge imitators are detrimental to transaction fees because transactions can be gigantic in volume, and the popularity of the altcoin plays means transactions are taking place at every waking moment.
Polygon is aiming to fix that. The Polygon platform works to increase scalability for blockchains, enabling lower gas fees and a wider pipeline for transactions. Recently, it is picking up support from investors as a fix to Ethereum’s layer-1 scalability problems.
DeFi protocols like mStable have been adopting Polygon to up scalability, with the hopes that it can keep DeFi open to all investors, rather than those with large portfolios. This morning, DeFi firm Aave is announcing its intent to work with Polygon to fight the Ethereum congestion.
Polygon (MATIC) Price Predictions Are Optimistic
As a result of Polygon’s increase in demand and recent partnerships, analysts are bullish on the MATIC token. Here’s what they are saying:
- DigitalCoin predicts the coin will continue up to $1.65 this year.
- Coinpedia thinks that with some particularly bullish momentum, the MATIC token could hit $5 in 2021.
- WalletInvestor is yet another Polygon bull, suggesting MATIC will reach $3.49 in 12 months’ time.
On the date of publication, Brenden Rearick did not have (either directly or indirectly) any positions in the securities mentioned in this article.