Will the MATIC's 71% increase be enough to sustain the medium- and long-term HODLer interest rate? The Ecoinomic

The past week has been pretty smooth for Polygon and MATIC. Surprisingly, the altcoin is still maintaining its momentum thanks to solid support from clear market signs as well as recent developments.

Polygon appears on Coinbase

To meet the needs of users, cryptocurrency exchange Coinbase has finally added support for Polygon and Solana, allowing investors to send and receive cryptocurrencies across multiple networks. In this way, it will significantly reduce user losses as gas fees on both Polygon and Solana are much lower than ethereum, which is the only option available so far.

These latest developments come just days after Polygon achieved carbon neutrality, making it one of the few environmentally sustainable blockchains.

The news sparked a rebound for the MATIC, which attempted to push it up 71.39% to take the trading price to $0.593 from a low of $0.326.

However, looking further into its price action, growth also positively impacts investors.

MATIC price recovery

First of all, the recovery triggered individuals to acquire the MATIC that they sold during the decline. The purchase accounted for about $183 million worth of MATIC purchases.

This is considered a hoarding opportunity to make a profit after prices rise for some, while for others, they regain the MATIC they have to sell to cut losses.

Polygon investors regained the MATIC they had to sell to cut losses. — Polygon investors regained the MATIC they had to sell to cut losses

However, not all went smoothly for Polygon as former investors moved their supply as soon as prices started to rise. Around June 12, the supply allocation between short-, medium- and long-term holders stood at 5.8%, 59% and 34%, respectively.

Since then, many medium-term holders have liquidated their holdings or moved them around. Especially at the present time, the supply held by these groups is nearly 8.6%, 55% and 35%, respectively.