After posting gains of more than 12,000% in 2021, Polygon (MATIC) became one of the most-watched cryptocurrencies in the space. In addition to its phenomenal gains, Polygon ranks among the best Layer-2 scaling solutions, increasing its appeal to investors.
As the year wound to a close, multiple reports from WhaleStats emerged that some of the biggest Ethereum whales were acquiring Polygon (MATIC) in large quantities.ย
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According to WhaleStats, as of January 12th, the average MATIC purchase among the top 1000 ETH whales was approximately $530,000.
More Ethereum Whales Are Turning to Polygon (MATIC)
New on-chain data now shows that Ethereum whales have returned to snap up huge quantities of MATIC tokens. The report comes after the Layer-2 scaling solution implemented the EIP-1559 upgrade on its Mainnet.
EIP-1559 introduced a token burn protocol to Polygon (MATIC). With MATIC being a fixed supply token, reducing the number of tokens in circulation is intended to create a deflationary model, which is predicted to positively affect MATIC.
According to on-chain data, the 157th biggest Ethereum whale has snapped up a total of 7,483,202 MATIC, valued at $17.4 million USD, across seven different transactions. The purchases started after the upgrade was implemented.
According to on-chain data tracker, WhaleStats, Polygon (MATIC) has been the most traded crypto over the last 24 hours.ย
The 24 hour price chart for MATIC. Source: Tradingview
On the Flipside
- Despite the expected uptrend, MATIC has suffered a huge 5% drop in value over the last 24 hours.
Why You Should Care
With its success in 2021, more people have turned to the Layer-2 scaling solution, with MATIC predicted to gain by even more in 2022.