Cross-Chain Connectivity and DeFi Convergence Drive up These 3 Altcoins
Crypto Consultant – Ollie
The cryptocurrency industry is displaying signs of growth after a multi-day sale that saw the overall market capitalization decline by more than $400 billion as the price to buy Bitcoin (BTC) momentarily dropped below $46,000.
While most of the Altcoins have entered the stabilisation process, which involves a re-testing of the underlying funding thresholds, some ventures have begun to recover lost ground as new project and technologies have reinvigorated investor confidence.
Cardano's ADA began the year with a bullish spark that saw its value rise by 624% from $0.165 on Jan. 2 to $1.20 on Feb. 20. This week's rapid correction took the crypto market investment to a low swing of $0.80.
On Feb. 9 the Matic network had changed its name to be "Polygon" as part of the strategic transition to be a layer-two aggregator. The move was made in reaction to the increasing momentum of Polkadot and the need to create a connectivity protocol on top of Ethereum.
High gas charges on the Ethereum network have raised the need for two-layer solutions, and Polygon has emerged as one of the top solutions for projects such as Aavegochi and Golem already running under the protocol.
Since then, the MATIC has recovered 62% to trade at $0.16, as the group and overall valuation locked into Polygon continues to rise.
Stacks (STX) was the breakthrough star on Feb. 24 when a layer-one blockchain solution intended to add smart contracts and decentralized apps to Bitcoin saw a historic $166 million in trading volume that lifted STX to a new all-time high of $1.17.
Enthusiasm for the project arises after the announcement on Feb. 23 that STX holders will now engage in delegated stitches from the Stacks wallet, helping them to receive BTC incentives.
Connectivity, cross-bridge solutions and STACKING have developed as development boosters that can encourage investors to keep their tokens and even draw potential entrants to old and new blockchain ventures.
Regarding the latest market slowdown, it is evident that ventures that give token holders various avenues to receive a return and run through different blockchain networks are starting draw greater attention.