On-chain data shows Polygon whales have continued to accumulate recently, adding a total of 55 million MATIC during the past month.
Polygon Whales Have Added Another 55 Million MATIC To Their Holdings
As pointed out by an analyst on Twitter, Polygon holders with between 10 million and 100 million MATIC have been buying recently. The relevant indicator here is the “MATIC Supply Distribution” from the on-chain analytics firm Santiment, which tells us which wallet groups in the market are holding how many coins right now.
Wallets on the network are divided into these wallet groups based on the number of coins they are currently holding. For example, the 1-10 coins cohort includes all addresses that are currently carrying at least 1 and at most 10 MATIC.
If the Supply Distribution is applied to this group, then the indicator will measure the total amount of Polygon that wallets falling inside this range as a whole are holding at the moment.
Now, in the context of the current discussion, the wallet group of interest here is the 10-100 million coins band. Here is a chart that shows the trend in the Supply Distribution for this MATIC wallet group over the last month or so:
The value of the metric seems to have been climbing in recent days | Source: Santiment on Twitter
The significance of the 10-100 million coins range is that it corresponds to a Polygon investor cohort called the whales. As these holders have such large amounts in their wallets (the range’s bounds convert to about $13.65 million and $136.5 million at the current exchange rate), their activity may sometimes have visible influences on the market.
As displayed in the above graph, the amount of supply held by the whales has been trending up in the past month. This means that these investors have been constantly buying more coins and storing them in their wallets during this period.
In total, these humongous holders have added around 55 million MATIC (worth about $75.1 million right now) to their holdings since January 16, 2023, taking their combined current balance to a whopping 234.59 million MATIC ($320.3 million).
Interestingly, this net accumulation from the whales has come when the price of the cryptocurrency has been rallying, when during price surges these holders tend to sell for profits instead. This could imply that these investors have strong bullish convictions about the coin right now.
Earlier in the week, the Polygon price had slumped down following a bit of selling from this cohort, but it didn’t take too long for these investors to start buying more at the lower prices and take their inventories to even higher levels than before the distribution.
Following this latest spike in their accumulation, the price of the asset has once again started climbing and has crossed the $1.3 level during the past 24 hours.
MATIC Price
At the time of writing, Polygon is trading around $1.37, up 8% in the last week.
Looks like the value of the asset has risen in the last couple of days | Source: MATICUSD on TradingView