After posting gains of more than 12,000% in 2021, Polygon (MATIC) became one of the most-watched cryptocurrencies. In addition to its phenomenal gains, Polygon ranks amongst the best layer-2 scaling solutions, increasing its appeal to investors.
As the year wound up, multiple reports from WhaleStats emerged that some of the biggest Ethereum whales were acquiring Polygon (MATIC) in large quantities.
According to WhaleStats, as of January 12, the average MATIC purchase among the top 1000 ETH whales was approximately $530,000.
More Ethereum Whales are Turning to Polygon (MATIC)
New on-chain data now shows that Ethereum whales have returned to snapping up huge amounts of MATIC tokens. The report comes after the layer-2 scaling solution implemented the EIP-1559 upgrade on its Mainnet.
The EIP-1559 has introduced a token burn protocol to Polygon (MATIC). With MATIC being a fixed supply token, reducing the number of tokens in circulation will create a deflationary model, predicted to positively affect MATIC.
According to on-chain data, the 157th biggest whale of Ethereum has snapped up a total of 7,483,202 MATIC, valued at $17.4 million in seven different transactions. The purchases started after the upgrade was implemented.
According to the on-chain data tracker, WhaleStats, Polygon (MATIC) is the most traded crypto over the last 24 hours.
The 24 hours price chart of MATIC. Source: Tradingview
On the Flipside
- Although expected an uptrend, MATIC has suffered a huge 5% drop in 24 hours
Why You Should Care
With its success in 2021, more people have turned to the layer-2 scaling solution, as MATIC is predicted to gain even more in 2022.
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