Polygon whales are on a rampage with renewed interest to push the price toward $1.
Besides its ecosystem whales, growth in active address counts is also a bullish catalyst for MATIC.

Polygon (MATIC), one of the top altcoins built on Ethereum is on its way to climbing to $1 and the influence of large holders often referred to as whales is set to play an important role in this rise. In this article, we’ll look into the insights of whale activities on the market dynamics of Polygon.

Influence of Whale Activities on MATIC’s Price

Per the latest MarketCap data, MATIC, the native cryptocurrency of Polygon is trading at $0.7251, demonstrating a 1.04% decrease in the past day. Also, the market capitalization has dropped 1% to $7 billion, while trading volume declined 7% to $235 million.

In the crypto market, whale activities often come with huge price movements due to the large volume of assets they control. In the instance of Polygon, examining pricing patterns and accumulation tendencies can help investors predict the potential influence of whales.

As MATIC approaches the $1 mark, whales’ strategic actions such as large-scale purchases or disposals could impact its price stability and upward trajectory. Notably, if whales decide to invest extensively in MATIC, the ecosystem may witness increased acceptance and value appreciation.

Building on previous reports by Crypto News Flash, whales have gone on a buying spree, indicating a bullish prognosis for the layer-2 blockchain. According to Lookonchain statistics, an anonymous whale transferred 1.9 million MATIC tokens valued at about $1.41 million from Binance to a decentralized on-chain wallet. 

Besides the MATIC transfer, the data also shows that the whale made repeated withdrawals in AVAX ($1.86 million), FET ($1.45 million), GRT ($1.44 million), OP ($1.29), and RNDR ($1.26 million). 

As we continue to track the impact of whale activity on MATIC, it becomes evident that whales wield considerable power in the market. Therefore, understanding these dynamics gives investors and market analysts a strategic advantage in forecasting market developments and making sound investment decisions. 

Polygon’s Path to $1

Currently, Polygon is eyeing reclaiming the psychological level of $0.80 based on the Market Value to Realized Value (MVRV) ratio. According to these parameters, Polygon is still undervalued and paints a bullish picture for this altcoin.

Whether or not whales will be the catalysts that propel MATIC to $1 remains a source of debate and speculation in the crypto community. However, over the past months, the Polygon ecosystem has demonstrated resilience and sustained growth despite a revenue dip and an extensive bearish trend plunging the year-to-date growth of MATIC.

One growth area for Polygon has been the increase in daily addresses. As Crypto News Flash had earlier detailed, the Polygon’s Proof of Stake (PoS) network consistently recorded 1 million daily active addresses for 30 consecutive days.

Analysts view this as an increase in interest and utilization of MATIC and the broader Polygon ecosystem. The key reason for this milestone is the strong interest in Polygon’s NFT sector. If this sector continues to grow, MATIC could see its price reaching the $1 mark soon.

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Filed under: Bitcoin - @ April 23, 2024 1:23 pm