- FTX exchange and two wallets from Polygon Ecosystem Growth deposited a total of 28 million MATIC tokens to exchanges.
- The Polygon wallet transferred 217 million MATIC tokens to 70 different wallets on November 15.
- MATIC price trend turned bearish, yielding 10% weekly losses to holders.
Polygon’s native token MATIC observed a spike in inflow to exchanges, increasing the selling pressure on the asset. MATIC price yielded double-digit losses for holders in the past week. The Ethereum scaling token’s on-chain metrics present a bearish outlook on MATIC price.
Also read: Bitcoin funds see over $311 million weekly inflows in anticipation of spot BTC ETF approval
MATIC inflow to exchanges
Based on data from crypto intelligence tracker, Lookonchain, the bankrupt FTX exchange transferred 8 million MATIC tokens worth $5.95 million to OKX exchange. Further, two wallets that received MATIC from the Polygon Ecosystem Growth wallet address, deposited 20 million MATIC tokens worth $14.86 million to Binance.
MATIC deposited to exchanges
All the above mentioned transactions took place early on Tuesday, a total of 28 million MATIC tokens flooded centralized exchanges, contributing to the rising selling pressure on MATIC.
MATIC’s on-chain metrics acted as bearish catalysts for the altcoin’s price.
On-chain metrics present bearish outlook
The Supply on Exchanges and Exchange Flow Balance metrics can be used to identify the selling pressure on an asset and the likely direction of its price trend. MATIC Supply on Exchanges has climbed from 7.99% to 9.05% of the total supply, between November 11 and 28. Exchange Flow Balance shows spikes in inflow in the days leading up to MATIC price decline, in the past week, seen in the chart below:
 [11.57.15, 28 Nov, 2023]-638367549571183839.png)
MATIC Supply on Exchanges and Exchange Flow Balance
Another key metric, Network Realized Profit/Loss (NPL) shows spikes in profit-taking by MATIC holders. Large spikes indicate that large number of holders have engaged in booking profits, contributing to the selling pressure on the scaling token. This indicator presents a bearish outlook on MATIC.
 [11.58.01, 28 Nov, 2023]-638367549864955210.png)
Network Realized Profit/Loss
At the time of writing, MATIC price is $0.7347 on Binance. The Ethereum scaling token yielded nearly 10% losses in the past week.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Bitcoin Weekly Forecast: BTC nosedives below $95,000 as spot ETFs record highest daily outflow since launch
Bitcoin price continues to edge down, trading below $95,000 on Friday after declining more than 9% this week. Bitcoin US spot ETFs recorded the highest single-day outflow on Thursday since their launch in January.
Bitcoin crashes to $96,000, altcoins bleed: Top trades for sidelined buyers
Bitcoin (BTC) slipped under the $100,000 milestone and touched the $96,000 level briefly on Friday, a sharp decline that has also hit hard prices of other altcoins and particularly meme coins.
Solana Price Forecast: SOL’s technical outlook and on-chain metrics hint at a double-digit correction
Solana (SOL) price trades in red below $194 on Friday after declining more than 13% this week. The recent downturn has led to $38 million in total liquidations, with over $33 million coming from long positions.
SEC approves Hashdex and Franklin Templeton's combined Bitcoin and Ethereum crypto index ETFs
The SEC approved Hashdex's proposal for a crypto index ETF. The ETF currently features Bitcoin and Ethereum, with possible additions in the future. The agency also approved Franklin Templeton's amendment to its Cboe BZX for a crypto index ETF.
Bitcoin: 2025 outlook brightens on expectations of US pro-crypto policy
Bitcoin (BTC) price has surged more than 140% in 2024, reaching the $100K milestone in early December. The rally was driven by the launch of Bitcoin Spot Exchange Traded Funds (ETFs) in January and the reduced supply following the fourth halving event in April.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.