- POL goes live after transitioning from Polygon MATIC.
- The upgrade has resulted to increased whale activity and trading volume.
After a long wait, the migration of MATIC to POL has finally gone live as planned by Polygon developers. According to the team, it has taken a year of community discussion to upgrade POL as the native token for Polygon.
Through their official page, Polygon shared the transition stating that,
” The wait is finally over: MATIC has been upgraded to POL across the Polygon network! That means every transaction that takes place on Polygon PoS, starting today, uses POL as the native gas token.”
Notably, this is a technical upgrade that sets the path for the ecosystem’s future as an aggregated network. Besides its utility for gas, the token will also be used to fuel the grants ecosystem and community treasury.
Additionally, the Polygon team revealed that the upgrade will play a crucial role in offering network security for services such as sequencing, ZK-proof generation participation in DACs, and more.
As reported earlier by AMBCrypto, the upgrade has received a major boost from various crypto exchanges including Binance. Binance will delist all MATIC trading pairs from 10th September.
What it means for MATIC/POL
While the upgrade was highly anticipated, POL price charts have not made a positive reaction. As of this writing, POL was trading at $0.3761 after a 4.09% decline over the past 24 hours.
However, the trading volume has experienced an exponential surge, increasing by 928.5% to $10.2 million. Additionally, the crypto’s market cap also saw an increase, according to the Coinmarketcap.
Source: Whale Alert
Notably, one of the key factors driving the surge for POL/MATIC tokens is increased whale activity. As revealed by Whale Alert, $608.7 million worth of Matic tokens were transferred from Bitvavo to an unknown wallet.
Such massive transfers have helped fuel trading volume for the altcoin as it attempts to establish within the new upgrade.
Source: Coinglass
Additionally, Coinglass data shows, that MATIC is enjoying demand for long positions indicated by a positive OI-weighted funding rate. This suggests investors are positive about the altcoin’s future prospects and betting on further gains.
Source: Tradingview
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Therefore, as MATIC transitions to POL, the market is responding with increased trading activity and whale activities. If whale activities are buying, this could drive prices up with increased demand.
Thus, with favorable market conditions, POL will reattempt the previous resistance level at $0.39 in the short term. Importantly, the markets will wait to explore how POL responds to the upgrade.
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