Markets
3 Layer 2 Encryption Projects LINK, MATIC, ARB to Launch in July
Layer 2 Crypto projects LINK, MATIC, and ARB have recently shown significant gains, signaling a solid market recovery. Each of these tokens represents critical advances in Layer 2 scaling solutions, improving both efficiency and scalability for blockchain technologies.
The imminent approval of Ethereum ETFs It is expected to significantly impact the market, getting the cryptocurrency community excited about the prospects.
1. Layer 2 Crypto Projects Chainlink (LINK)
Chain (LINK), a layer 2 blockchain abstraction layer, currently trading at $14.19. This marks a 2% increase in value. Over the past 24 hours, the Chain price recorded a low of $13.84 and a high of $14.50.
Source: Santiment
Chainlink has increased in price by 8% over the past week. Despite the significant accumulation by whales, the broader market participation remains unchanged. According to Santiment, the number of active Chainlink addresses has remained relatively constant. This trend highlights that while large investors are buying, overall market activity is not increasing significantly.
Chainlink price chart
Chainlink’s relative strength index (RSI) is approaching overbought territory with a reading of 70, suggesting that the price may soon face resistance if buyers continue to dominate the market.
Meanwhile, the Moving Average Convergence Divergence (MACD) shows increasing bullish momentum, as evidenced by the rising histogram and the MACD line (blue) rising above the signal line (orange).
2. Polygon (MATIC)
Polygon (MATIC), a Layer 2 solution, enhances Ethereum’s capabilities by improving scalability and reducing transaction costs via sidechains. Despite a recent 13% decline, MATIC is showing signs of recovery with a 1% increase in the last 24 hours, currently Price of the polygon is at $0.5366.
With a market cap of $5 billion, MATIC is among the top 21 digital currencies. This momentum suggests potential exponential growth in the next bull cycle, highlighting its importance in cryptocurrency. As Polygon continues to evolve, it plays a crucial role in supporting the Ethereum network without disrupting its core layer.
According to data from Glass coinMATIC derivatives market has shown significant activity recently. MATIC derivatives trading volume increased by 57% to $348 million.
Source: Open Interest
Additionally, open interest increased 5% to $154 million. This increase in volume and open interest suggests growing trader interest in MATIC’s futures and options markets.
3. Referee (ARB)
Arbitrum (ARB), a Layer 2 cryptography project, uses optimistic rollups to increase the transaction speed, scalability, and cost efficiency of the Ethereum network. Referee The network recently saw a 2% increase, reaching a value of $0.7434 in the last day.
This increase is part of a larger trend, with a significant increase in total value locked (TVL). Indications suggest that Arbitrum is preparing for a bullish phase in the market, signaling potential future growth.
Second DeFiLlama data, Arbitrum has reached significant financial milestones. The total value locked (TVL) is currently around $3 billion. The market cap for stablecoins on Arbitrum is reported to be around $4 billion.
Over the past 24 hours, the platform has seen $925 million in trading volume, with $37 million in inflows. This data underscores the growing engagement and trust in the Arbitrum network within the cryptocurrency ecosystem.
Arbitrium Price Chart | Source: Trading View
The 4 hours technical indicators for Arbitrum show mixed but cautiously optimistic sentiment. The Relative Strength Index (RSI) is currently at 61, above the midpoint of 50. The Moving Average Convergence Divergence (MACD) line has crossed above its signal line, reflecting a positive shift in momentum in the market.
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Frequently Asked Questions (FAQ)
The expected approval of Ethereum ETFs is significantly increasing investor confidence and market performance.
Despite the accumulation of whales, the number of active Chainlink addresses has remained relatively constant.
The MATIC derivatives market has recently seen a significant increase in volume and open interest.