All about Polygon’s recovery, downsides, and the likelihood of another upswing
Like most cryptocurrencies, Polygon [MATIC] has experienced a significant price increase in recent times. But after the period of recovery for most of Q1, the token of the Ethereum [ETH] scaling solution faced a notable decline.
How much are 1,10,100 MATICs worth today ?
However, the fall in price would have had less effect on the MATIC value if not for the massive profit-taking that occurred. For instance, the ratio of daily on-chain transactions in volume in profit to loss sharply spiked on 8 April.
When the metric increases, it mostly has a negative impact on the asset price. But when it’s the other way around, the value stabilizes or increases. But according to Santiment, over $49 million worth of MATIC were taken as gains on the aforementioned date. This represented the highest it has experienced this year. Hence, it was impossible for the price action not to be affected.
Source: Santiment
However, there were actions that propelled MATIC to resist surrendering to a significant fall. One of such was the tremendous increase in large transactions over the past week. According to the on-chain analytic platform, these transactions went as high as $33 million.
This served as the major influence of exempting MATIC from losing a chunk of its 31.47% 30-day high.
Source: Santiment
It seemed that MATIC may be prepared for another upswing based on the dormant circulation condition. At the time of writing, the 90-day dormant circulation was flat out at 230,000. Ordinary, the lack of activity with this metric implies that long-term holders have restrained participating in sell-offs.
Even so, the mean coin age in the past 90 days has been flattening. This metric also tracks dormant money and the activity of old addresses.
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