Whale Transfers 9.8M+ MATIC to Binance; Potential Price Drop?

• Whale Alert tweeted today that a whale sent more than 9.8 million MATIC to Binance this morning.
• The whale tracking firm also revealed that an unknown wallet received $11.4 million worth of MATIC from Polygon Staking today.
• Technicals suggested that MATIC’s price may fall below the crucial support at $0.7515 in the next 24 hours.

The price of Polygon (MATIC) may drop in the next 48 hours given that a whale transferred more than $7.4 million worth of the Layer-2 cryptocurrency to Binance earlier today. According to a tweet from Whale Alert, a whale transferred 9,839,786 MATIC to the exchange platform less than an hour ago. It was estimated that the total transfer was worth $7,486,533.

This post followed another tweet made by the whale tracking firm today, which revealed that more than $11.4 million worth of MATIC was transferred from Polygon Staking to an unknown wallet. On-chain data shows that the wallet that was the recipient of this transfer is different from the one that made the transfer to Binance.

However, given that the two transactions took place in less than 30 minutes of each other, it’s fair to say that both transactions were performed by the same user. Nevertheless, if MATIC that was transferred to Binance is sold off, whether it be for market making or other purposes, it will inevitably result in a price drop for the altcoin.

At press time, CoinMarketCap indicated that MATIC’s price had declined 2.33% over the past 24 hours. As a result, the cryptocurrency’s price stood at $0.7577. Furthermore, it also weakened against the two market leaders Bitcoin (BTC) and Ethereum (ETH) by 1.50% and 0.94%, respectively.

From a technical perspective, the altcoin had fallen below the crucial support at $0.7897 over the past day of trading. In addition to this, MATIC’s price was attempting to break below the next support level at $0.7515, at press time.

If MATIC is able to close today’s daily candle above the 9-day EMA line at approximately $0.7641, it may look to reclaim a position above the $0.7897 mark. Continued buy pressure may even boost the altcoin’s price to $0.8259 as well. On the other hand, a close below the 9-day EMA line and the support at $0.7515 could result in MATIC dropping to $0.7118.

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