Polygon (MATIC) ‘s Value Might Further Devalue Despite the Recent Attention It Received From Its Whale Holders

Polygon (MATIC) ‘s value might further devalue despite the recent attention it received from its whale holders. On July 11, the volume of large transactions

(MATIC) failed to garner attention from its whale holders, despite recent reports.

On July 11, the seven-day high for large transactions involving the Layer (L2) token was $103 million. However, the altcoin’s price showed no reaction and continued to decline.

Polygon Price Unmoved By Whale Influence

According to data from IntoTheBlock, on July 11, MATIC’s large transaction volume amounted to $103 million. This marked a 1,493.81% increase from the $6.45 million recorded in transaction volume the previous day.

Large transactions are defined as those valued at over $100,000. Hence, when their volume surges like this, it indicates increased activity from institutional investors. Due to the large volumes involved, these large transactions have the capacity to influence the asset’s price.

However, MATIC’s price showed no response. At press time, the altcoin trades at $0.49. In fact, over the last 24 hours, the L2 token’s price went down by 4%, while its trading volume increased by over 10%.

Read More: How To Buy Polygon (MATIC) and Everything You Need To Know

A bearish divergence occurs when an asset’s price decreases while its trading volume increases. This situation indicates that despite high trading activity, selling pressure is strong enough to drive the price down. It happens when the sentiment trailing an asset is negative. If the trend continues, this may lead to further price drops.

MATIC Price Prediction: No Escape In Sight

The negative values returned by MATIC’s Elder-Ray Index confirm the current negative market sentiment. At press time, the indicator’s value is -0.03 million.

This indicator measures the strength of buyers and sellers in the market. When it returns a negative value, bear power is dominant in the market.

If the bears continue to control the market, they may drive MATIC’s price down to $0.42.

However, if market sentiment shifts positively, the token’s price might climb to $0.50.