Polygon (MATIC) Bucks Crypto Trends, Maintains Strong Investor Support
According to the crypto analytics firm Santiment, Polygon (MATIC), a blockchain scaling solution, is currently experiencing its lowest supply levels on exchanges in four years.
The analysis suggests that only 7.1% of MATIC’s supply is currently on exchanges, the lowest level since the crypto asset was introduced in 2019.
Santiment also notes that the low exchange supply “implies limited selloff opportunities that should reassure investors.”
MATIC is trading at $1.12, up 0.51% in the past 24 hours but down more than 1.75% in the past seven days. Polygon has seen a 47% increase since the beginning of 2023.
Santiment also examines Polygon’s mean dollar invested age, which represents the average age of each dollar invested in MATIC.
“Dormant money” shows signs of moving, with multiple large dips occurring on the mean dollar invested age curve. A flattened curve typically indicates that some old addresses are circulating coins again, which is generally a positive sign for an asset.
If the mean dollar invested age curve experiences another significant drop as it did in January 2021, it could cause excitement.