Polygon, previously known as MATIC, recently underwent a significant upgrade that included a name change and several other enhancements. However, the upgrade has not yet translated into a significant price increase for the token.
Despite the lack of immediate price appreciation, whale activity surrounding Polygon has been noteworthy. Santiment’s data revealed that there was a sudden shift of POL tokens from exchange wallets to cold wallets, indicating potential accumulation by large investors.
An analysis of IntoTheBlock’s data revealed that the number of addresses holding large quantities of POL tokens has decreased in the past 30 days. This suggests that some whales may have reduced their holdings or transferred them to cold wallets.
While the price volatility of POL has decreased, other on-chain indicators are mixed. Polygon’s social volume has declined, despite the recent upgrade. Additionally, the MVRV ratio, which measures the profitability of token holders, has also dropped, suggesting a bearish sentiment.
However, there are positive signs as well. The buying pressure on POL has increased, as evidenced by the decline in supply on exchanges and the increase in supply outside of exchanges. This suggests that investors may be accumulating the token.
Also Read: Polygon’s POL Surge – 66% Token Migration & $7.8B NFT Boom Propel Network Forward
Based on these factors, Polygon’s price could move in either direction in the coming days. If bearish sentiment prevails, POL might fall to $0.36. However, if bullish sentiment gains momentum, the token could reach $0.41 or even $0.57.
The overall outlook for Polygon remains uncertain, but the recent whale activity and positive on-chain indicators suggest that there is potential for future price appreciation. Investors should closely monitor developments in the Polygon ecosystem and market sentiment to make informed decisions.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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