Is MATIC’s 71% rally enough to preserve mid-term, long-term HODLer interest 

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The week has been quite a ride for Poly­gon and MATIC as the net­work and its token have seen sig­nif­i­cant growth. Sur­pris­ing­ly, the alt­coin is still main­tain­ing its rise thanks to sol­id sup­port from broad­er mar­ket cues as well as a recent development. 

Polygon arrives on Coinbase

Heed­ing the demands of its users, cryp­to-exchange Coin­base final­ly added sup­port for Poly­gon and Solana, allow­ing traders and investors to send and receive cryp­tocur­ren­cy on mul­ti­ple net­works. This way, it will sig­nif­i­cant­ly reduce users’ loss­es as the gas fees on both Poly­gon and Solana are far low­er than Ethereum, which was the only option avail­able up until now.

These lat­est devel­op­ments came just days after Poly­gon achieved car­bon neu­tral­i­ty, mak­ing it one of the only few envi­ron­men­tal­ly sus­tain­able chains. 

The news also trig­gered a ral­ly for MATIC, which man­aged to push it up by 71.39% to bring the trad­ing price to $0.593 from lows of $0.326.

Poly­gon price action | Source: Trad­ingView – AMBCrypto

How­ev­er, look­ing beyond its price action, growth has pos­i­tive­ly impact­ed investors as well. 

The MATIC price rally…

First of all, the ral­ly trig­gered indi­vid­u­als to buy back the MATIC they sold dur­ing the down­fall. This pur­chase account­ed for about $183 mil­lion worth of MATIC being purchased. 

This was con­sid­ered as an oppor­tu­ni­ty to stock up for book­ing prof­its once the price went up for some, while for oth­ers, it was reclaim­ing the MATIC they had to sell to cut their losses.

Poly­gon investors sell­ing | Source: San­ti­ment – AMBCrypto

But, not all is going well for Poly­gon as old­er investors end­ed up mov­ing their sup­ply right as the price start­ed to hike. Around 12 June, the dis­tri­b­u­tion of sup­ply among the short-term, mid-term, and long-term hold­ers stood at 5.8%, 59%, and 34%, respectively. 

Since then, many mid-term hold­ers have been either liq­ui­dat­ing their hold­ings or moving them around. Espe­cial­ly as at the moment, the sup­ply held by these cohorts is close to 8.6%, 55%, and 35%, respectively.

Poly­gon short-term traders’ sup­ply increas­ing | Source: Intothe­block – AMBCrypto

Regard­less, this might be a good sign for the net­work since the high­er the activ­i­ty would be, the longer the ral­ly can sus­tain itself.

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