In a recent series of Twitter posts, the prominent cryptocurrency tracking handle, Whale Alert, revealed that a substantial amount of Polygon (MATIC) tokens, totaling over 55 million, have been transferred to the Coinbase exchange. These transfers originated from unknown addresses, raising concerns within the cryptocurrency community.
The rapid succession and significant volume of these transactions typically signify an intention to sell, potentially impacting the token’s price negatively. However, despite the influx of MATIC tokens into Coinbase, the price has remained resilient, currently trading at $0.83 according to CoinMarketCap.
MATIC’s impressive Performance
MATIC has exhibited remarkable performance, reflecting a 3.09% increase in the last 24 hours and an impressive 63.25% surge over the past month. This upward movement aligns with the broader trend observed in several altcoins, which have been experiencing positive price momentum. The resilience of MATIC’s price in the face of substantial whale activity is noteworthy and suggests a strong buying sentiment within the market.
It is essential to note that MATIC has experienced a significant influx of whale activity on the Polygon network even before these recent transactions. This surge in whale accumulation has played a crucial role in driving up the token’s price. The accumulation of MATIC by large holders indicates confidence in the project’s fundamentals and potential for future growth.
Analyzing the one-hour MATIC/USD chart, it becomes evident that the token’s price has been on the rise, starting at $0.78 in the early hours of November 12. This upward movement suggests that there is currently more buying power in the market than potential sell-offs. This sentiment is further supported by the Accumulation/Distribution (A/D) indicator, which has reached 1.34 billion, signaling a strong upward breakout for MATIC.
While there has been a slight decline in the token’s value due to a mild distribution at the time of writing, if sell orders remain short-lived and accumulation continues, the possibility of MATIC reaching $0.90 cannot be ruled out. The bullish momentum is reinforced by the Moving Average Convergence Divergence (MACD) crossing into the positive region, indicating an increasing upward momentum for the token.
A closer look at MATIC’s circulation reveals an intriguing pattern. According to on-chain analysis conducted by Santiment, there was a notable surge in MATIC tokens being utilized between November 5 and November 9. During this timeframe, MATIC’s price surged from $0.69 to $0.85, highlighting the impact of increased network activity on its valuation.