- MATIC whales are on a buying spree.
- The recent frantic accumulation points to an imminent price rally.
- The development follows growing excitement within the Polygon ecosystem.
MATIC, the native token of the Polygon PoS blockchain, enjoyed a strong start to November 2023, almost clinching the highly coveted $1 price at one point as Polygon Labs sparked excitement with its partnership with OKX to launch an Ethereum Layer 2 chain.
As the month ends, however, the price charts indicate that this momentum has since fizzled out. In the past two weeks, the asset has experienced an 18% price decline to trade around $0.75. Despite the recent price decline, MATIC’s horizons remain bright.
Recent whale activity suggests that bulls are ready to stage a comeback. Is $1 still in play for MATIC?
Growing Bull Currents
In an X post on Wednesday, November 29, prominent crypto analyst Ali Martinez highlighted that MATIC whales had launched an accumulation spree in the past week. Santiment data showed that this group of investors with holdings between 10,000,000 and 100,000,000 MATIC had accumulated over 120 million MATIC within the period, worth a staggering $90 million.
The frantic whale accumulation suggests that large MATIC holders believe the asset is currently selling at a discount and hints at an imminent price rally from the buying pressure, as is typically the case following whale accumulation. A similar accumulation was observed throughout the end of October 2023 and the beginning of November 2023, leading up to MATIC’s initial break above $0.80 for the first time since July 2023.
While the reason for the recent whale accumulation is unspecified, MATIC holders have had reason to be excited in the past week.
Big Amazon Support and the Promise of More
On November 26, Amazon Web Services (AWS) announced that it was extending the Amazon Managed Blockchain (AMB) Access service to the Polygon mainnet and the Mumbai testnet, in a move that promises to make the building of decentralized applications (DApps) on the blockchain easier than ever. Exciting Polygon developments in the past week, however, do not end there.
Sponsored
On Wednesday, November 29, Polygon co-founder Sandeep Nailwal stoked the flames by revealing that Polygon Labs had at least three major announcements set for December 2023. These include a supposed game changer for tokenization on Polygon that will lead to greater adoption from traditional financial institutions.
So, amid these exciting developments and whale activity, can MATIC chart a path to $1? At the time of writing, the asset’s price is forming a range between the $ 0.7275 price point and the $0.7847 price level in the short term.
While the daily price chart suggests that momentum favors a price continuation lower, the weekly time frame suggests otherwise. As such, the break of the current range will likely provide a crucial indicator of where MATIC’s price will go next.
On the Flipside
- MATIC faces potential selling pressure as FTX has recently made several exchange deposits. On Wednesday, November 29, crypto smart money tracker Lookonchain reported that FTX deposited 7.64 million MATIC worth $4.8 million to exchanges.
- The reason for the recent whale accumulation remains unspecified.
Why This Matters
Traders tend to follow the movement of crypto whales as they typically preempt big price moves. The recent accumulation of MATIC by this class of investors suggests that the asset’s price may soon experience a significant upswing.
Read this to learn more about what happened the last time Polygon whales made a big splash:
Polygon (MATIC) Price Hits 4-Month High Amid Whale Frenzy
Learn about Polygon co-founder Sandeep Nailwal’s thoughts on the recent Bankless debacle:
Polygon Founder Stands up for Bankless Founders Facing Flak
