Why Polygon (MATIC) Might Take A Hit After Recent Price Surge?

Polygon (MATIC) token has registered a price surge of more than 22% in the last 7 days. This recent price jump has helped MATIC to wipe out its past loss. However, the data suggest that a cooldown might be coming ahead.

MATIC Up By 20% over past 24 hrs

According to the Santiment, Polygon’s price soared by over 20% in the last 24 hours. While the global crypto market registered a light pump after the release of the CPI data. The cumulative digital asset market cap jumped by around 3% to stand at $892 billion over the last day.

Meanwhile, MATIC has emerged as one of the top gainers over the past 30 days. It has increased by 43% in the same period of time.

However, the data suggests that this is the time to be cautious for investors as the average number of traders have increased by over 28% on the Polygon in the past 30 days. It added that this is the highest level since October and a cooldown might be required. Meanwhile, the MVRV intraday ratio stands at 28.46%.

The Polygon is trading at an average price of $0.634618, at the press time. It is up by over 15% over the last day. MATIC’s 24 hour trading volume has jumped by more than 106% to stand at $1.22 billion.

Why Polygon’s price surge?

The recent price surge has been backed by the latest announcements done by the network. However, the top Ethereum whales have also been on a wide accumulation of the MATIC token.

As per the WhaleStats, Polygon flipped the BAT token for the most traded coin among the largest of the 1000 Whales. However, the MATIC also landed on the tally of the top 10 tokens purchased by the top 500 ETH wallets over the last 24 hours.

An Ethereum whale named “BlueWhale0097” bought around $5.52 million worth of MATIC tokens in multiple transactions. Meanwhile, the top 100 ETH whales cumulatively hold around $60.2 million worth of Polygon tokens.