On Wednesday’s U.S. market session, the Polygon price recorded a 3.6% surge to currently trade at $0.726. Defying the Bitcoin price consolidation, the altcoin market witnessed a notable inflow as the second largest cryptocurrency, Ethereum, surged over 6%. However, the altcoin faces the risk of a $0.6 breakdown as a foundation wallet transfers Million in POL to the FalconX trading platform.
According to Coingecko, the Polygon’s market cap stands at $6.06 Billion, while the 24-hour trading volume wavers at $880.7 Million.
- Millions of POL tokens moved to the FalconX trading platform could surge downward pressure on the asset.
- The polygon price witnesses a steady uptrend consolidation within a rising wedge pattern.
- The coin price trading above the 4-hour exponential moving average (20, 50, 100, and 200) accentuates the short-term trend in strongly bullish.
Polygon’s $6.19M Token Transfer Sparks Market Uncertainty
According to onchain tracker Spotonchain, a wallet associated with the Polygon Foundation, has deposited 8.68 million POL tokens (equivalent to $6.19 million) to FalconX, a prominent crypto trading platform.
This wallet initially received the POL tokens—then valued at $3.2 million—from the Polygon Ecosystem Growth wallet on November 15. Since that time, the value of POL, formerly MATIC, has experienced a staggering 106% surge, reflecting heightened market interest in the token.
Advertisement
Typically, such large transactions, especially when linked to the Foundation wallet, could create market uncertainty and downward pressure on Polygon price.
A wallet that received $POL from the #PolygonFoundation deposited all 8.68M $POL ($6.19M) to #FalconX just 4 hours ago.
The wallet initially received these $POL tokens (then worth only $3.2M) from the “Polygon Ecosystem Growth” wallet on Nov 15.
Since then, the price of $POL… pic.twitter.com/DbYAeKWakJ
— Spot On Chain (@spotonchain) December 4, 2024
Polygon Price: Rising Channel Pattern Holds Key to $1 Target
Over the past -three weeks, the Polygon price witnessed a high-momentum rally from $0.35 to $0.72, projecting a 103% growth. A look at the 4-hour chart shows the recovery resonating actively within two ascending trendlines, indicating the formation of a rising channel pattern.
Theoretically, the pattern provides a stable uptrend within dynamic resistance and support until the price breaks out on either side. The POL price currently witnessed overhead supply at $7.5, signaling the potential for a 10% reversal to seek support at the bottom trendline.
Until the support trendline is intact, the coin price could prolong its prevailing uptrend.
Advertisement
On the contrary note, a breakdown below the bottom trendline could delay a $1 rally for Polygon price and may extend a correction below $0.6.
