Coinbase has officially resumed support for Polygon following the platform’s transition from MATIC to its new governance token, POL. After temporarily halting Polygon-related transactions to accommodate the migration, the U.S.-based crypto exchange announced today, that users could now send, receive, and trade Polygon under the new POL ticker.
Coinbase Enables Transactions For POL After Ticker Change
In a recent post on the X platform, Coinbase announced it had restored services for Polygon after completing the migration from MATIC to POL. The exchange had paused transactions involving Polygon on August 26, 2024, to facilitate the transition to the new governance token.
Following the migration, users can now send, receive, and trade the token under the new POL ticker across all regions.
The migration was part of Polygon’s roadmap to upgrade its ecosystem by transitioning to POL as the official token for paying transaction fees and staking within the network’s Proof-of-Stake (PoS) mechanism. However, MATIC stakers will continue receiving rewards for their ongoing staking cycles until their completion.
Impact of The Migration on Polygon Network
The switch from MATIC to POL was intended to streamline governance and staking on the Polygon network, as POL is set to become the standard for staking. However, despite the news of Coinbase resuming support, POL has experienced market challenges.
After an initial 10% price surge following Coinbase’s support announcement, the POL token has since struggled, reflecting broader market trends. It has dropped 12% over the past month and is currently down 71% from its yearly high in March 2024.
As of September 11, POL ranks 30th by market cap, valued at approximately $2.5 billion, with a current price of $0.378. The token’s price volatility continues as the market adjusts to the effects of the migration and general market conditions.
POL Price Shows Strength Amid Migration
Following the news, POL price has shown signs of recovery, with the Moving Average Convergence Divergence (MACD) indicator on the daily chart indicates momentum shift. The MACD histogram reveals a diminishing bearish trend, as the red bars have reduced in size. This further supports the possible declining selling pressure.
Additionally, the Moving Average Convergence Divergence line appears to be approaching a bullish crossover with the signal line. This could signal a shift towards upward momentum if sustained. The volatility indicates a market reacting to the transition of MATIC to POL, with buyers stepping in as the token stabilizes.
More so, most recently, Coinbase stock also experienced positive movement sparking investor bullishness on Brett, Degen and Toshi. This increase was partially attributed to the growing success of Coinbase’s Base Layer 2 (L2) network.
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