MATIC Trading Volume Drops by 50% Despite Price Resurgence

MATIC's Sentiment Index plunges further into negativity, signaling a challenging trend. On a brighter note, Polygon's NFT market thrives, boasting $90 million in sales for January alone.

Matic Trading Volume Drops By 50% Despite Price Resurgence_65b976fad74bc.webp

Polygon [MATIC] rebounded by nearly 3% in the last 24 hours, breaking free from a week-long decline that saw the cryptocurrency shedding 9.7% of its market value, based on CoinMarketCap data. However, appearances can be deceiving.

matic trading volume drops by 50 despite price resurgence 65b976fadb138

Contrary to expectations, MATIC’s USD trading volumes plunged by over 50% during the same timeframe, according to AZC News’s analysis of Santiment data. Traditionally, diminished trading volumes in an upward market trend are perceived as bearish signals, indicating a lack of interest from traders to acquire the asset.

Furthermore, a decrease in volume during an uptrend might suggest that it’s time to sell and secure profits. It’s essential to note that this information is not to be construed as market advice, and readers were advised to conduct thorough research before making any financial decisions.

matic trading volume drops by 50 despite price resurgence 65b976fae5292

The Weighted Sentiment also extended its decline into negative territory, reinforcing the bearish narrative surrounding MATIC. Derivatives traders are losing interest in MATIC as well.

MATIC Loses Favor Among Derivatives Traders

Speculative interest in MATIC has dwindled since the beginning of the year. Coinglass reports that the Open Interest (OI) in MATIC futures stood at $199 million at present, reflecting a 34% decline year-to-date (YTD).

matic trading volume drops by 50 despite price resurgence 65b976faf26c3

Adding to the bearish sentiment, short positions for MATIC have consistently outnumbered long positions since the commencement of 2024. Certainly, the sentiment among derivatives traders regarding MATIC appears less optimistic at the time of this publication.

On a brighter note, Polygon’s NFT market paints a contrasting picture. As reported in a recent X post, the Polygon blockchain has witnessed impressive NFT sales, reaching $90 million in January alone – the highest monthly volume since April 2022.

NEW: Polygon has passed $90M in NFT sales volume for the month of January so far.

The highest monthly volume since April 2022. pic.twitter.com/0yiYfiwgFl

— Today In Polygon (@TodayInPolygon) January 20, 2024

Notably, Polygon has solidified its position as the fourth-largest blockchain for NFT trading over the past month, with sales surpassing $100 million, indicating a remarkable 70% increase compared to the previous month, according to CryptoSlam.

Related: Polygon [MATIC] Witnesses Surge in Developer Numbers

Earlier in the month, the layer-2 (L2) chain achieved a significant milestone by surpassing Ethereum [ETH] in 24-hour NFT sales for the first time. Driving this surge in Polygon’s NFT market is the success of collections from the Web3 game Gas Hero. Specifically, Gas Hero Common Heroes emerged as the second-most traded collection in the last month, generating sales exceeding $35 million.

(100 votes)

5.0/5

(100 votes)

Latest

70% Of Bnb Chain Memecoin Investors Are In Profit

News | Editor Choice | Memecoin

70% of BNB Chain Memecoin Investors Are in Profit – CZ’s “Meme Season” Is in Full Swing

The memecoin wave on the BNB Chain is exploding, with over 70% of investors reporting profits as capital floods in — marking the start of the most vibrant “meme season” ever predicted by CZ.

Paypay Acquires 40% Stake In Binance Japan

News | Editor Choice | Policy & Regulations

PayPay Acquires 40% Stake in Binance Japan

The acquisition of a 40% stake in Binance Japan marks a historic milestone for PayPay, paving the way for the convergence of traditional payments and digital assets, and shaping the future of Japan’s digital finance landscape.

Bitcoin Boom Ahead Institutional And Derivatives Data Reveal

News | Bitcoin | Editor Choice

Bitcoin Boom Ahead? Institutional and Derivatives Data Reveal

Market experts believe that Bitcoin (BTC) is in a phase of accumulation rather than topping, predicting a retest before the next explosive breakout.

Bnb Super Cycle – A Massive Rally Or Binance’s Next Big Bubble

News | Altcoin | Editor Choice

BNB Super Cycle – A Massive Rally or Binance’s Next Big Bubble?

Binance’s BNB token is heating up the crypto market with a series of new record highs, but amid the excitement of the so-called “Super Cycle,” many analysts warn it could just be a bubble waiting to burst.

Bitcoin Cools Off After Record Breaking Rally

News | Bitcoin | Editor Choice

Bitcoin Cools Off After Record-Breaking Rally

After a series of record-breaking gains, Bitcoin suddenly slipped more than 2% on Tuesday afternoon as a wave of profit-taking spread and investor caution returned to the crypto market.

Screenshot 2025 09 10 100533