Bittime – Even though the crypto market has been gripped in the red all week, with various large-cap altcoins experiencing price declines, crypto whales, i.e. crypto investors with large holdings, have been seen accumulating Polygon (MATIC), according to the latest findings from blockchain tracking firm LookOnChain.
The price of the MATIC token indeed fell below the support level of $0.70 after the crypto market correction last weekend.
However, instead of panic selling, a crypto whale withdrew 1.9 million MATIC tokens from the Binance exchange to a decentralized on-chain wallet.
While these big player moves usually signal accumulation, DailyCoin tracked the public address and confirmed that the whale still holds those 1.9 million MATIC tokens.
Will Crypto Whales Drive MATIC to $1?
With Polygon's Layer-2 blockchain bearing the brunt of the overall crypto market downturn, especially after Bitcoin hit $60,000 again, altcoin traders are questioning whether MATIC's long-term price target of $1 is still realistic.
Bearish selling pressure has caused MATIC to fall 35% in the last 30 days, even breaking the $0.70 support level on Wednesday after another 3.5% decline.
However, crypto analyst Scalping on X sees a glimmer of hope in the price chart. According to him, the broadening wedge pattern (widening triangle) formed on the MATIC daily chart shows bullish potential.
This pattern will be confirmed if MATIC manages to close the day above $0.63, as shown by the orange lower borderline.
If Polygon's daily price movement matches the pattern's criteria, Scalping on
Previously, MATIC managed to trade above $1 for a whole month, starting from February 21, 2024. Even after a mild market correction, the price returned to above $1 until April Fool's Day.
However, since then, MATIC's price has struggled to recover against selling pressure triggered by tensions in the Middle East.
When this article was written, the price was around $0.66. This can be partly explained by MATIC's association with Bitcoin, as the two have a fairly strong price correlation.
Check Today's Crypto Market:
Why Is This Important?
Tracking the movements of crypto whales is essential for understanding the ongoing market sentiment.
Crypto whales usually have an information advantage and move first following the changing dynamics of the crypto market.
Technical Analysis vs. Technical Analysis Crypto Whale Accumulation: Which is More Important?
The movement of crypto whales can indeed be an indicator of positive sentiment towards a crypto asset. However, investment decisions should not be based solely on these actions. Some other factors investors need to consider include:
1. Fundamental Analysis
Learn the long-term viability of the Polygon project. White paper research, development team, development roadmap, and ecosystem built on the Polygon blockchain.
2. Technical Analysis
In addition to the broadening wedge pattern mentioned previously, a more comprehensive technical analysis can help investors understand MATIC's future price movements.
Consider using other technical indicators and other chart patterns to validate possible buy signals from the broadening wedge pattern.
3. Overall Market Conditions
MATIC's short and long-term prospects cannot be separated from the overall crypto market conditions. Investors need to pay close attention to market sentiment, Bitcoin movements, and macroeconomic factors that can influence the crypto market.
Also read How to Buy Crypto:
Conclusion
The crypto whale's accumulation of MATIC tokens can be seen as a positive signal, but investors must carry out their analysis before making investment decisions.
Fundamental and technical analysis, as well as overall market conditions, play an important role in determining the best investment opportunities.
How to Buy Polygon (MATIC) on Bittime
You can buy and sell Polygon (MATIC) easily and safely via Bittime. Bittime is one of the best crypto applications in Indonesia which is officially registered with Bappebti.
Polygon (MATIC) is available on Bittime with the market pair MATIC/IDR. To be able to buy MATIC IDR at Bittime, make sure you have registered and completed identity verification. Apart from that, also make sure that you have sufficient balance by depositing some funds into your wallet. For your information, the minimum purchase of assets on Bittime is IDR 10,000. After that, you can purchase crypto assets in the application.
Learn the complete guide on how to buy Polygon (MATIC) on Bittime.
Monitor price chart movements for Polygon (MATIC), Bitcoin (BTC), Ethereum (ETH), Solana (SOL), and other cryptos to find out today's crypto market trends in real-time on Bittime.
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DISCLAIMER: This article is informational and is not an offer or solicitation to sell or buy any crypto assets. Trading crypto assets is a high-risk activity. Crypto asset prices are volatile, where prices can change significantly from time to time and Bittime is not responsible for changes in fluctuations in crypto asset exchange rates.
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