Could Polygon MATIC Reach $100 – MATIC Growth Potential

Several cryptocurrencies saw exponential grow in value in the past few years.

Bitcoin grew from $0.09 a coin in 2010 to over $51,000 in 2021.

Ethereum grew from its lowest price of $0.81 a coin the week it launched in 2015, to over $4,300 a coin in 2021.

Even meme coins such as Dogecoin climbed from $0.001 to $0.64 a coin, and Shibu Inu surprised everyone soaring from $0.00000000056 to $0.00007959.

Shibu Inu’s climb may not look a lot, but this is an increase of 142,000%!

If these cryptocurrencies can reach incredible high values and climb by incredible multiples, could Polygon MATIC reach $100?

Currently Polygon MATIC is trading at around $0.90 a coin and has been hovering between $0.70 and $3 for the past year.

Considering Shibu Inu climbed by 142,000%, couldn’t Polygon MATIC climb 10,000% and reach the $100 price every Polygon MATIC holder is hoping for? – Perhaps.

To understand how much a cryptocurrency can increase in value, the current price should really be ignored.

The key factor in determining the future potential of how much a cryptocurrency, such as Polygon MATIC can climb, is its market capital.

What is Market Capital?

Unlike the cryptocurrency coin price, or the percentage it could increase by in comparison to other cryptocurrencies which in themselves have no basis, market capital is the current value of the cryptocurrency.

The value is calculated by multiplying the current number of tokens in supply by the current trading price.

An easy way to look at the calculation is below:

Calculation: Market Value = Number of tokens in circulation * Trading Price

So, why is this important?

A high market capital suggests a lot of investors are in the space, money has already entered this cryptocurrency and making significant returns beyond this point will become much harder to achieve.

On the other hand, a low market capital suggests it’s a new or not yet noticed cryptocurrency and with the right attention and hype could see many investors investing into the coin, which will increase the value of the crypto and its market share.

Let’s look at this using an example.

A cryptocurrency with 100,000 circulating coins may have a trade value of $10 a coin, giving this cryptocurrency a market share of $1,000,000.

Another cryptocurrency with 100 million circulating coins may have a trade value of $1 a coin, giving this cryptocurrency a market share of $100,000,000.

Although the second cryptocurrency has a current price of $1 compared to the first cryptocurrency of $10, it is the $10 cryptocurrency that is worth less.

100 times less in fact.

It will be much easier for the first coin to increase 100 times in value to become worth $1,000 a coin and have a market capital of $100million than it will for the second coin to increase 100 times in value, become $100 a coin, but have a market capital of $10billion!

Therefore, market capital is a much better indicator of future potential growth, when comparing against other cryptocurrencies and businesses, than the value of the coin itself.

Market Capital of Polygon MATIC

The market capital of Polygon MATIC fluctuates based on trade price, but at time of writing its market capital is around $6.4billion.

This value, as we will see shortly, is considered a good-sized market capital for a cryptocurrency.

It has 8 billion coins in circulation.

Polygon gained traction originally as MATIC but later rebranded to Polygon in 2021. Developed in India, the idea of Polygon MATIC was to provide Ethereum compatibility but with faster speeds, more transactions per second and much lower fees.

Polygon also became the third cryptocurrency in the NFT blockchain space behind Ethereum and Solana.

It was through this success that investors saw an opportunity, and as demand for the Polygon MATIC cryptocurrency grew, so did its price and market capital.

To see whether Polygon MATIC could reach a $100 price, it’s necessary to know why market capital is so important, and if Polygon MATIC did reach $100 where does it then rank in terms of other major cryptocurrencies and huge brand names.

Why Market Capital is Important

As we saw in the earlier example, if we simply took the cryptocurrencies price as the basis of whether it can increase 10,000%, we would be missing the most important piece of the equation.

A lower coin price does not mean more chance of a large return.

As we saw the coin with the $1 trade price has much less chance of reaching $100 a coin, than the $10 price reaching $1,000 a coin.

In fact, the current price is only relevant for calculating the market capital, not for comparison and future potential.

The best way to see whether a cryptocurrency has any potential to increase 100 times, it is necessary to compare it against other top performing cryptocurrencies.

Polygon MATIC Market Cap vs Other Cryptos

Here is a table showing how the Polygon MATIC cryptocurrency compares to other top coins such as Bitcoin, Ethereum, Solana Dogecoin, Shibu Inu, Decentraland and The Sandbox:

CryptocurrencyMarket Capital
Bitcoin$417billion
Ethereum$181billion
Solana$13billion
Dogecoin$8.4billion
Polygon MATIC$6.5billion
Shibu Inu$6billion
Decentraland$1.65billion
The Sandbox$1.6billion

For Polygon MATIC to reach $100 it would need a market capital the size of $650billon and become the largest cryptocurrency on the market.

It would need to become bigger than Bitcoin and Ethereum combined and would need $640 billion more investment to reach this price.

Could Polygon MATIC Reach $100

It is unlikely that Polygon MATIC would reach $100 in the short term. A price of $100 per coin would mean it would be worth more than Bitcoin and Ethereum combined. Even a $10 price per coin would make Polygon MATIC the third most valuable cryptocurrency on the market outranking Tether.

The reason for this is already the price of Polygon MATIC has increased by 23,158% since its launch, as you will see in the Polygon price chart below.

Polygon MATIC all time price chart

Looking at the price of a cryptocurrency coin alone though is not enough.

Nothing is considered impossible in the cryptocurrency space.

If Polygon’s compatibility with the Ethereum ecosystem as well as cheaper gas fees starts to see a cross over from Ethereum to Polygon it could see the price of Polygon increase by 20 to 40 times its current value.

This outcome although possible is unlikely and if it was achieved it would take a timeframe of years rather than months.

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