MATIC price saved from drawdown as one group of investors steady the Polygon token
|- MATIC price has been stuck in a rut, trading around $0.68 since the beginning of August.
- The participation has hit a three-month low, with active addresses ranging under 1.5k, last observed in May this year.
- Over 300 million MATIC tokens worth over $200 million have moved into the wallets of long-term holders, keeping the altcoin from declining.
MATIC price is moving sideways at present, showing no signs of readying for a switch in momentum from bearish to bullish. However, considering the market condition, it is beneficial for the Polygon token holders if the altcoin continues sideways instead of downwards. Interestingly, this is also partially possible thanks to the investors themselves.
MATIC price finds investors’ support
MATIC price is currently trading at $0.67 and has been moving around this price for the past two weeks. Since the beginning of the month, the volatility has taken a downturn, with the altcoin observing no significant increase or decrease in price. While the former is not the most optimum path for MATIC, it is still better than the latter.
MATIC/USD 1-day chart
This is because investors are not too active on the chain at the moment, which makes sustainability an important factor for MATIC price. The addresses conducting any transaction on the network have been declining and recently hit a three-month low of 1.5k.
MATIC active addresses
These levels were last seen in May this year, raising concerns that the plunge in active addresses could materialize investors' fear of facing losses. Given the broader market condition, a decline is likely, juding from the price indicators.
However, MATIC holders’ determination seems to be playing in their favor, as the cryptocurrency has not slipped on the charts yet. The long-term investors (addresses holding tokens for more than a year) are observing an increase in their supply by 300 million MATIC, while the traders (addresses holding tokens for less than a month) are noting a decline.
MATIC supply distribution
As MATIC moves into the hands of long-term holders, the altcoin finds reassurance against immediate selling, which traders are prone to. Consequently, low selling and longer holding are bound to keep the MATIC price afloat.
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