Crypto
Polygon Price Rockets 80% in the Month to Date on Whales’ Coattails
Polygon price has been on a strong bullish trajectory in recent weeks, fueled by an increase in whale activity and broader market cues. The digital asset has flipped major altcoins to become the 11th largest cryptocurrency after TRON, with a total market capitalization of $8.8 billion. MATIC has added a staggering 83% in its value over the month to date and climbed by 30% in the past week. The total volume of the asset traded over the last day has increased by 11%.
Optimism Abound
Polygon price has been among the biggest winners in the crypto market rally that started in October. Since then, the altcoin has recorded significant gains, climbing to its highest level since May this year. The rise comes on the back of increased whale activities around the MATIC token as large-scale interest picked up.
On-chain analytics by IntoTheBlock have shown that institutional and whale demand has picked up strongly for the cryptocurrency sector. In this regard, MATIC, the native token of the Ethereum scaling solution Polygon, has witnessed an extraordinary 3,800% surge in the volume of transactions exceeding $100,000 over the past 30 days. The increase in whale transactions may indicate that institutional and large-scale investors are actively buying and selling.
Furthermore, it was revealed that wallets holding 100,000 to 1 million MATIC have amassed over 42.88 million of the token since October 24. Whale transactions from large-scale players tend to influence the market dynamics of a digital asset, explaining the significant uptick in Polygon price in recent weeks.
Notably, the altcoin has equally benefitted from the bitcoin ETF-fueled rally. The broader crypto market has recorded a remarkable recovery in recent weeks on the back of increased speculations regarding the approval of a spot bitcoin ETF by the US Securities and Exchange Commission (SEC). The global crypto market cap has increased over the past few weeks to $1.4 trillion, while the total crypto market volume ticks higher.
Polygon Price Technical Outlook
The daily chart shows that the Polygon price has been on an upswing over the past few weeks, climbing to its highest level in more than six months. During this period, the cryptocurrency has managed to break above the crucial level of $0.800, highlighting the strength of it rally. At the time of writing, the digital currency was trading 8% higher at $0.9530.
Polygon remains above the 50-day and 200-day exponential moving averages, as well as the 100-day and 200-day simple moving averages. The Moving Average Convergence Divergence (MACD) indicator has also been bullish, supporting the upward movement. The Relative Strength Index (RSI) has moved into the overbought zone, suggesting an increase in selling pressure.
As such, the bulls have the upper hand and are likely to push the price higher in the medium term. A break above the $1.00 level would lead to subsequent gains towards the next resistance level at $1.2945. Conversely, we cannot rule out a drop below the $0.800 support zone which would invalidate the bullish thesis.
MATIC Price Chart