The decentralized exchange (DEX) volume of Polygon, a layer two scaling solution for Ethereum, had an astounding spike on Wednesday, November 15, reaching its highest point in eight months. The story, first published by Polygon news aggregator Today in Polygon, featured an Artemis chart created using information from Defi Llama.
The graphic illustrated the notable increase in DEX activity on the Polygon network. Despite predictions of a 200% increase, Today’s DEX volume increased by 895% during the previous 30 days, according to Polygon’s analysis.
The increase in DEX volume is a sign of a larger trend in the decentralized financial arena, as consumers are seen using layer two solutions often to get around blockchain networks’ scalability issues. With its dedication to offering scalable and interoperable solutions, Polygon has been a leader in tackling these issues and has drawn a sizable influx of consumers looking for quick and affordable DeFi transactions.
DEX Recent Increase Coincides With Polygon Network New Milestone
To provide consumers with a more seamless and cost-effective experience, Layer 2 solutions, which run on top of established blockchains like Ethereum, seek to reduce congestion and excessive transaction fees. The DEX volume surge coincides with another Polygon network milestone, with 2.89 million transactions on the platform every day on Tuesday.
More developers, projects, and users are anticipated to investigate the possibilities of layer two solutions due to the spike in DeFi activity on Polygon. Layer 2 alternatives such as Polygon present a viable alternative to Ethereum, which is still beset by scalability issues and expensive gas fees.
Announcing the recent development, Today In Polygon, on their X handle, informed the Polygon online community that the DEX trading volume rose by over 200% in the past 30%. It also announced that this is the highest the coin has attained in the last eight months.
Polygon Moves To Reach $1 As The Network Becomes More Sustainable
Recent market analysis shows that few coins made significant moves, rising between 53.79%, 94.9% and 25.71% in the last seven days. Some listed coins (according to data from Defi Llama) include DEXes e.g., Uniswap (V3) (94.9%), Balancer V2 (53.79%), and Curve (25.71%). The record shows that Polygon made its all-time high on Tuesday, April 2023, with a total trading volume of over 2.89 million transactions.
This development occurred when Polygon’s MATIC had a brief major rally, which unknown Whales triggered. Analysis obtained from Daily Coin says that MATIC has had a consecutive price movement that led to a high in the last few days. The coin almost reached $1 after trading for $0.98 on November 14, the first time after May 2023.
Data from CoinMarketCap in the last 24 hours says that Polygon’s price had increased and sold for $0.89. Meanwhile, MATIC has risen to 68% in the last 30 days. Commenting on the topic, Okoya David with Daily Coin wrote that the significant rise in daily transactions and DeFi activity highlights how the Polygon network is becoming more mature.
David added that with its capacity to solve scalability problems and enable effective decentralized financial transactions, layer two solutions are expected to become increasingly important. Analysis on Daily Coin also stated that some selected whales are currently in possession of MATIC coin worth between 100,000 and 10 million units of MATIC, which has been accumulating since the 24th of October.