š MATICās bear phase confirmed! Is $0.40 next for the altcoin?
MATIC finding it difficult to find its footing after almost all its holders fell out of profitsMVRV indicator revealed that the token was in a bear phase and would need a 13% hike to escape
Things have gone from bad to worse forĀ Polygon [MATIC]Ā after the latest market correction. To be very specific, the price of the token plummeted to $0.43 on 5 July.
To put this into perspective, the last time MATIC hit this level was back in July 2022. At the time, the crypto market was in a full-blown bear phase.
MATICās recent decline has been in line with that of the broader market. However, on a singular front, it seemed to be all on its own.
Now, one normally expects most or at least some of the top 20 cryptosā holders to be in some form of profit at some point in time. Is that really the case with MATIC though?
šø Polygon finally leaves āgreen landā
Well, the bad news is that MATIC cannot boast of the same thing. According toĀ IntoTheBlock, 97% of the projectās active addresses are out of the money now. In simple terms, this means that they are holding the token at a loss.
The remaining 3% areĀ not in profit,Ā but are at breakeven point, meaning that no MATIC active holder has unrealized gains.
In March, the price of Polygonās native token had reached a yearly-high of $1.27, putting many holders in the money. Since then, however, it has been all down for the altcoin.
At press time, the cryptocurrency was able to find its way back to $0.46. However, it was yet to face a huge sell-wall at a minimum price of $0.49.
In this zone, 550 addresses bought 20.47 million MATIC. Thus, if the price approaches this level, there is a high chance that investors would be willing to sell.
Should this be the case, the value of the token might drop again to $0.43. However, should in caseĀ buying pressure increases, bulls might attempt to break this wall.
If that is successful, MATIC might retest $0.51 on the charts. For the time being though, that is an unlikely possibility.
