Matic Price Strategy: Can Ethereum Whales Save MATIC from Another Correction?
Polygon (MATIC), a leading layer-2 scaling solution for Ethereum, has faced resistance from bears as the cryptocurrency grapples with downward price pressure. Amid this, investors are asking: what Matic price strategy will work, and can Ethereum whales save MATIC from another correction?
MATIC's Price Volatility: A Tug-of-War
The price of MATIC, the token powering Polygon, Ethereum’s leading Layer-2 scaling solution, has reached a 60-day high recently, surging 28% over the past week. However, MATIC's price is battling its first death cross in over a year, a potential bearish MACD, and a below par daily RSI. This conflicting data paints a picture of considerable uncertainty.
Whale Activity: A Key Indicator?
Top Ethereum (ETH) whales are rocking the crypto boat again, as top cryptocurrency whale agencies reported three suspicious transactions on-chain. Whale activity signals potential shifts in MATIC, with major transfers from Binance. Despite the price weakness, a whale has been accumulating MATIC for the past few days. The whale’s wallet accrued more than 18.79M MATIC, valued at $6.2M, withdrawing funds. This suggests a possible bullish outlook from at least one major player.
After 10 days of persistent decline, MATIC only pulled 54 whale transactions on May 30, according to the latest data. This essentially shows that whale demand isn't consistently strong enough to offset bearish trends.
Recent Developments and Potential Impact
MATIC price entered a double-digit percentage price rally over the weekend after the team unveiled a new governance protocol council on Thursday. These new joiners could inject renewed confidence into the project. Amid this development, whales demonstrated their long-term commitment to cryptocurrencies like MATIC (recently migrated to POL), INJ, and Render, with a significant holding.
Technical Analysis and Price Predictions
MATIC tests $0.378 support whereby breaking below may push price towards lower levels. The key question remains: will whale accumulation be enough to counter potential bearish signals and prop up the price? Close monitoring of both on-chain data and technical indicators is crucial to understanding future price movements.