Polygon and its MATIC token are getting the attention of investors with interesting events over the past few days. Ethereum Layer 2 recently confirmed a partnership with trading platform Robinhood, and their new relationship has just reached a major milestone.
Robinhood Launch Exclusive Web3 Wallet on Polygon
Polygon previously announced a partnership with Robinhood and the same impacted the price of MATIC. The exchange just announced the launch of its exclusive Web3 wallet on Polygon.
No official release date has been announced, but the latest announcement from the Polygon Twitter account underscores the rapid development taking place behind the scenes.
— Polygon – MATIC 💜 (@0xPolygon) September 27, 2022
The Web3 wallet launch event was a great start to the partnership between Polygon and Robinhood. However, it is currently in beta and is not ready for official operation.
Moreover, MATIC prices have plummeted since the initial announcement. This means that this announcement is not enough to change the price of MATIC but instead, the polygon native token has been declining in price since mid-June.
However, it is likely that the final launch will help trigger investor sentiment in a positive direction. MATIC’s weighted sentiment index has remained in a low range for more than 4 weeks.
Its operating results reflect a decrease in purchasing power in the market.
The distribution of MATIC’s supply also revealed that some of the largest whale species contributed to MATIC’s price drop. For example, the largest whale with an address holding more than 10 million MATIC has sold tokens in the past three days.
In contrast, wallet addresses holding between 1 million and 10 million MATIC were bought. Unfortunately, this is not enough to compensate for the drawbacks that have existed over the past few days.
Selling pressure has slowed significantly, which could lead to some possibility of MATIC price increases over the next few days.
Positive signals of MATIC
A change in weighted sentiment will likely encourage the MATIC to rise but that will require a catalyst or a positive event. A good example is Polygon’s strong growth in network development.
Favorable growth networks can also encourage investors especially after a bearish period. In the event of such an outcome, the bulls may soon try to recover in the short term.
MATIC was trading at $0.73 at time of writing, a slightly higher level than its price a week ago. Perhaps it is a good signal after breaking the bearish pattern in mid-September.
Despite its underperformance, the latest development of MATIC is quite promising.It has the potential to boost the operation of MATIC especially in the long term.
>>> See also: What is Polygon (MATIC)?