So, can MATIC reach $1,000? To cut a long story short, the answer is probably no. Let’s take a closer look at the numbers to show you why you shouldn’t expect Polygon to reach a price of $1,000.

MATIC has a total supply of 10 billion tokens. If the price of one MATIC token was $1,000, that would translate to a market capitalization of $10 trillion for Polygon. Let’s put this figure in context by showing the market capitalization of the world’s five most valuable companies at the time of writing:

Apple: $2.72 trillion

Microsoft: $2.29 trillion

Saudi Aramco: $1.98 trillion

Alphabet: $1.36 trillion

Amazon: $1.08 trillion

If Polygon had a market capitalization of $10 trillion, it would be more valuable than the world’s 5 most valuable companies combined. We don’t need to go into too much detail to conclude why this would be an extremely unlikely scenario. 

To strengthen our point, let’s compare what a hypothetical $1,000 MATIC price would mean in the context of the cryptocurrency market. 

The total cryptocurrency market cap peaked in November of 2021 at just under $2.9 trillion. In the same month, Bitcoin reached its highest-ever market cap of $1.22 trillion. So, if MATIC had a price of $1,000, it would be 8.19x larger than Bitcoin at its historical peak. 

At the time of writing, MATIC is trading at a price of $0.690 and its market capitalization is $5.52 billion. Please note that the current MATIC market capitalization is calculated using the current circulating MATIC supply (8.01 billion tokens) instead of the total MATIC supply (10 billion tokens).

To reach a price of $1,000, Polygon would need to see a 1,108x increase in price. While such multiples are not unheard of in the cryptocurrency market, it would be extremely difficult for an asset that’s already valued at $5.52 billion to produce such a performance as that would require truly immense amounts of capital to be invested into Polygon. 

The only feasible way for Polygon to reach $1,000 would be a redenomination of the MATIC token. Such a measure could technically bring the price of 1 MATIC token to $1,000, but that wouldn’t mean much for investors as the total value of their holdings would stay the same.

Another way Polygon could theoretically reach a price of $1,000 would be a MATIC token burn that would drastically reduce the supply. However, this is unlikely to happen in practice. $MATIC #dyor dyor