MATIC is the native token for the Polygon blockchain. This altcoin project was built on top of the Ethereum ecosystem and aimed at providing better sustainability solutions and scaling protocols for tackling the problems related to high gas fees and slow transaction speed. During August, MATIC’s price value remains bullish.
At press time, MATIC is valued at $16.4 that marks a price appreciation of 140% since July this year. There is increasing concern among investors that if the price of the MATIC coin was able to rise in such a short amount of time, does it means that a correction might happen suddenly as well. The market analysts believe that MATIC is getting support from strong investors, which mean that the chances for a sudden crash are not very huge.
April marked the peak of the altcoin market when most cryptocurrencies were performing at their peak. During this period, a host of traders started to pour into MATIC token. These traders hailed from a group of investors who have been holding the MATIC token for less than 30 days. These investors are the short-term gainers who want to enter the market during a rally and leave before consolidation strikes.
Due to this reason, the overall buying and selling pressure on the Polygon network neutralized each other during April. It does not mean that the transaction and liquidity activities on MATIC settled down to low levels. Both buying and selling pressure remained in the high tide for the same period as well.
Long-term Holders Support MATIC Token
Polygon is also known as MATIC network previously, is now looking at an increasing number of cruisers. The cruisers are a class of investors who are long on the network and has been holding MATIC token for at least 1-12 months. Another distinctive quality of this group of investors is that they do not normally sell their holdings when the market experiences a rapid rise.
The total number of active cruiser addresses on Polygon has risen to 112 thousand at press time. Meanwhile, it also accounts for lower transaction traffic despite a major increase in active addresses since April that was valued at 40K. Thus far, the average HODL time for MATIC cruisers is noted to be ten months. This translates into MATIC’s price point remaining intact for a long time due to the absence of selling pressure.