The crypto space is assumed to be preparing for a fresh price reversal as Bitcoin price and major altcoins are testing major support levels. Furthermore, the tokens are apparently predicted to drop off these levels to mark a bearish close for the month. Meanwhile, one of the strong layer-1 chains, Polygon’s native token MATIC is reportedly believed to be in deep waters as whales could cause more price drops shortly.
MATIC’s price is presently trading at $0.822 with a drop of nearly 4.06% in the past 24 hours with a market capitalization of $7.18 billion. In the past few days, MATIC’s price has been undergoing a couple of strong pullbacks. According to a leading on-chain data provider, Lookonchain, whales are causing these dumps at frequent intervals.
As per the data above, the whales have been dumping millions of MATIC tokens which has caused the price to drop significantly. Moreover, the whale still holds nearly 36 million MATIC tokens worth approximately $29.b million which may keep up the bearish clouds hovering over the asset for an extended period.
MATIC Price May Rebound Strongly Soon!
Regardless of the fact that MATIC’s price is trading within crucial levels, there is a scope for a significant upswing. Recently, the founder of Polygon Sandeep Nailwal shared an important update and revealed that the network’s active address reached 15 million in the last 30 days.
This update appears to be pretty promising as it represents the swelling popularity of the network as the platform’s DeFi ecosystem also witnessed growth lately. Moreover, data from Cryptoquant revealed that MATIC’s exchange reserve was decreasing indicating a drop in the selling pressure.
Thus, despite the bearish clouds hovering over the Polygon(MATIC) price, a significant rebound may make huge noise very soon.