The price of the polygon has been on a strong upward trajectory in recent days due to increased whale activity and positive data on the chain. Polygon Network’s native asset is up nearly 15% in the past week and is up more than 7% month to date. Even so, the asset remains 22.76% lower year-to-date.
MATIC price rally
The price of the polygon is hovering around the highest level since August after increasing adoption of the asset and increasing whale activity. MATIC’s total market value rose more than 4% in the last day to $5 billion, ranking the digital asset 12u after Toncoin. MATIC’s total trading volume over the same period also increased by 34%.
According to Santiment, the main catalyst behind Polygon’s rally is the $20.7 million whale haul recorded at the beginning of the month. The Polygon network recorded an unusually large increase in owner activity when a whale transferred 37 million MATIC, marking the largest transfer on the network since July. According to Santiment, 37 million MATIC were transferred from a whale PoS to a three-year-old wallet. This move pumped some liquidity into the asset, pushing the price of Polygon higher while other cryptocurrencies suffered losses.
Data in the chain from IntoTheBlock has also revealed a significant increase in whale activity in the Polygon network. At the time of publication, the concentration of large holders on the network was at 85%, while large transactions increased by more than $294 million last week. The platform defines transactions greater than $100,000 as large transactions.
Polygon’s increase in adoption and utility, due to its scaling solutions and partnerships, has also played a major role in the asset’s upward trajectory. The projects and platforms that have been integrated into Polygon have driven growth in its ecosystem, helping to increase demand, thus having a positive impact on the price of MATIC.
Polygon Price Analysis
The daily chart shows that the Polygon price is on a strong upward trajectory, breaking above the critical support level of $0.5455. At the time of writing, Polygon was trading 2.88% higher at $0.5833. The digital currency remains above and below the 50-day and 200-day exponential moving averages, respectively. The Moving Average Convergence Divergence (MACD) gives a buy signal.
Hence, the price of the Polygon is likely to continue to move higher in the coming sessions as bulls watch the resistance level at $0.6355. A move beyond this level would trigger subsequent gains at the 200 EMA at $0.7270. On the other hand, a move below immediate support at $0.5455 could push the price lower to find support at $0.5000.
MATIC price chart
