- MATIC was trading 23% lower than the same time last week.
- Portfolios holding between 1,000 and 10 million coins have risen sharply in the past week.
The crypto market remained in the red, just like Bitcoin [BTC] and most leading altcoins failed to counter the downside volatility.
No exception, MATIC has also suffered from this, with a drop of almost 4% in the last 24 hours CoinMarketCap.
The native token of the popular Layer-2 (L2) network Polygon was trading at $0.71 at the time of writing, down 23% from the same time last week.
Possibility to stock up?
Such sharp corrections in a bull market are not typically viewed with overtly negative sentiment, as they allow seasoned market players to accumulate coins at lower prices.
On-chain tracker Look at chain drew attention to one such whale who used the bottom to fill his trunks.
Among the various altcoins, MATIC was prominent, with almost 2 million of them snapped up by the wealthy investor.
But this wasn’t just a one-off incident. Using Santiment’s data, AMBCrypto noticed a noticeable increase in whale cohort ownership.
The number of wallets holding between 1,000 and 10 million coins has increased significantly in the past week. At the same time, large transactions, worth more than $100,000, increased significantly.
This indicated that whales were indeed buying MATIC’s dip.
Source: Santiment
Whales have confidence in MATIC’s recovery?
The motivation to accumulate was rooted in their bullish expectations of MATIC.
Despite a notable decline, nearly 55% of all whale positions for MATIC on Binance were long at the time of writing, according to AMBCrypto’s analysis of Hyblock Capital’s data.
This indicated that they were confident of a short-term recovery.
Source: Hyblock Capital
Is your portfolio green? View the MATIC Profit Calculator
Negative comments dominate
However, the price drop contributed to more negative commentary around the coin, as evidenced by the negative Weighted Sentiment indicator.
Typically, such bearish approaches can influence the participation of retail investors as the latter are convinced by discussions, especially on social media.
Source: Santiment