Polygon zkEVM Network Threatened, MATIC Price Soars

Bittime – The price of Polygon 'sMATIC is experiencing interesting movements. After previously experiencing a downward trend for the last seven days, MATIC's price is now showing signs of improvement. 

Data from CoinMarketCap shows a MATIC price increase of 1.5% in the last 24 hours. At the time of writing, MATIC was trading at $0.9874 with a market cap of over $9.7 billion, ranking it as the 16th largest crypto asset.

MATIC Prices Rise, Public Still Sentimental?

Even though the price of MATIC has increased, market sentiment towards this token is still dominated by negative views. This can be seen from the high Social Volume value but with negative Weighted Sentiment. MATIC daily chart analysis by AMBCrypto shows that the uptrend may continue for longer, although the MACD indicator shows a potential price decline.

However, the MATIC price movement which rebounded from the lower limit of the Bollinger Bands provides a signal of potential price increases in the future.

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Problems with Polygon zkEVM

While the price of MATIC fluctuates, Polygon's Layer 2, zkEVM, has recently experienced problems. Through an official tweet on social media, the Polygon team announced that zkEVM Mainnet Beta experienced problems with the sequencer due to layer 1 (L1) reorganization. 

This issue only impacts Polygon zkEVM and does not affect the Polygon Proof-of-Stake (PoS) blockchain, Polygon CDK, or other chains built using Polygon CDK.

As a result of this issue, AMBCrypto looked at Artemis data to see its impact on zkEVM network activity. Analysis shows a sharp decline in Daily Active Addresses and Daily Transactions since March 21, 2024.

Also Read: Impact of the Ethereum Dencun Upgrade on the Polygon Network (MATIC)

Impact of zkEVM Disruption on MATIC Prices

The beta version of Polygon's zkEVM recently ran into issues. The Polygon team admitted this in their social media post, which stated that the zkEVM sequencer was facing difficulties due to layer 1 reorganization. 

This disruption only impacts Polygon zkEVM (the only rollup) and does not affect Polygon PoS networks, Polygon CDK, or other chains built using Polygon CDK.

The Polygon team is working to resolve the issue and will soon release a post-mortem report explaining the cause and future preventive measures.

Despite setbacks, Polygon remains committed to innovation. The promised launch of the second generation zkEVM in the coming weeks is expected to improve platform performance.

Until now, this disruption has not had a significant impact on the price of the MATIC token. In the last 24 hours, MATIC only increased by 0.34% for $0.9804. However, MATIC also experienced a 5% price drop over the past week, following the general downward trend of the crypto market.

For your information, Polygon zkEVM is a Layer 2 protocol designed to increase Ethereum's scalability by using off-chain transaction processing mechanisms and zero-knowledge proofs.

Last September, Verichains, a leading blockchain security company, identified a critical flaw in Polygon zkEVM. The vulnerability was discovered in the zkProver module, which makes the network vulnerable to evidence forgery attacks.

This vulnerability has the potential to pose a major risk to the security and integrity of funds in layer 1 and layer 2 of the blockchain ecosystem. However, it is worth noting that Polygon and Verichains have worked together to address this issue.

Also read How to Buy Crypto:

How to Buy Polygon (MATIC) on Bittime

You can buy and sell Polygon (MATIC) easily and safely via Bittime. Bittime is one of the best crypto applications in Indonesia which is officially registered with Bappebti. 

Polygon (MATIC) is available on Bittime with the market pair MATIC/IDR. To be able to buy MATIC IDR at Bittime, make sure you have registered and completed identity verification. Apart from that, also make sure that you have sufficient balance by depositing some funds into your wallet. For your information, the minimum purchase of assets on Bittime is IDR 10,000. After that, you can purchase crypto assets in the application. 

Learn the complete guide on how to buy Polygon (MATIC) on Bittime. 

Monitor the price chart movements of Polygon (MATIC), Bitcoin (BTC), Ethereum (ETH), Solana (SOL), and other cryptos to find out today's crypto market trends in real-time on Bittime.

Also Read: 

MATIC Staking: Definition, Benefits & Tutorial

Polygon (MATIC): Positive Trend and Predicted to Touch ATH?

Will Polygon (MATIC) Price Return to $1 when the “Whales” Go Away

DISCLAIMER: This article is informational and is not an offer or solicitation to sell or buy any crypto assets. Trading crypto assets is a high-risk activity. Crypto asset prices are volatile, where prices can change significantly from time to time and Bittime is not responsible for changes in fluctuations in crypto asset exchange rates.