Polygon’s native token, MATIC, has staged an impressive comeback over the past few weeks. The cryptocurrency has risen back to $0.80 and boosted its market capitalization by 54% in just three weeks, according to on-chain analytics firm Santiment. This recovery comes on the heels ...
- MATIC has experienced an impressive comeback, reaching $0.80 and witnessing a 54% market capitalization increase in three weeks.
- Large accumulation by large wallets holding between 100,000 and 10 million MATIC contribute to the price surge.
- MATIC is currently trading at $0.816, up 7.39% in the last 24 hours, and has gained 21.32% over the past seven days.
Polygon’s native token, MATIC, has staged an impressive comeback over the past few weeks. The cryptocurrency has risen back to $0.80 and boosted its market capitalization by 54% in just three weeks, according to on-chain analytics firm Santiment. This recovery comes on the heels of a prolonged bear market for MATIC and other altcoins.
MATIC hit $0.80 for the first time since July, thanks to robust accumulation and whale activity, Santiment reports. At the time of writing, MATIC was trading at $0.816, up 7.39% in the last 24 hours. Over the past seven days, the token has gained 21.32%.
Large MATIC transactions helped in price surge
According to Santiment, a surge in large transactions has supported MATIC’s climb. The analytics firm recorded 161 MATIC transfers of $100,000 or more in a single day, the most since July.
Santiment also observed that Polygon’s large wallets holding between 100,000 and 10 million MATIC have been accumulating over the past two weeks, further propping up the recent rally.
If MATIC closes the day in positive territory, it will mark the sixth straight day of gains since November 3. Today’s trading session saw intraday highs of $0.839 before a minor retracement. Wallets with 100,000 to 10 million MATIC have accumulated 42.88 million coins since October 24, Santiment notes.
The analytics provider credits this return of whale activity as a driving force behind MATIC’s resurgence. Large wallet accumulation often signals renewed confidence in an asset’s upside potential. As deep-pocketed investors stock up on MATIC again, it appears the token may be gearing up to retest its all-time high around $2.70.
Polygon’s efforts to expand its ecosystem are also likely contributing to renewed interest. The layer-2 scaling platform recently announced a collaboration with competing chain NEAR to develop a zero-knowledge (ZK) proof solution tailored for WebAssembly (Wasm) blockchains.
Once complete, the zkWasm prover will enable greater scalability and decentralization for Wasm networks like NEAR. It may also forge closer ties between Near and Ethereum, granting Wasm chains access to Ethereum’s abundant liquidity.
NEAR Foundation now joins Polygon Labs as a core contributor to Polygon’s Chain Development Kit, which gives developers tools for building custom blockchains.
With whale activity bouncing back and Polygon’s ecosystem growing, MATIC seems to have regained its momentum after months of lackluster price action. The token remains far below its all-time high, suggesting there is room for further upside as more investors take notice of Polygon’s revival.
With altcoin prices often volatile, however, MATIC’s ascent could face challenges ahead. For now, its impressive rebound marks a milestone for Polygon as it aims to become the leading layer-2 solution on Ethereum.