Alamedas 4.5M POL Dump Sparks Sell-Off Fears Amid Price Rally
- Alameda Research transferred 4.5M POL tokens worth $1.98M to Binance over four days.
- RSI at 72.39 indicates overbought conditions, while MA crossovers suggest an uptrend.
Alameda Research has raised concerns among investors by transferring large amounts of Polygon (POL) tokens to Binance during a price surge. In the past four days, the firm moved 4.5 million POL tokens worth $1.98 million. The latest transfer involved 2 million POL tokens, valued at $927,000.
Polygons market activity has intensified, with its price trading at $0.5453, reflecting an 18.25% gain in the last 24 hours. The market cap surged by 17.44% to reach $4.35 billion. Meanwhile, trading volume rose 71.74%, totaling $819.45 million in the same period. The volume-to-market-cap ratio stands at 18.90%, signaling heightened trading interest.
Alamedas history of token dumps has led to steep market corrections in the past. Traders are now closely monitoring Binances order books for any signs of liquidation. With Polygons circulating supply at 7.97 billion POL, investors remain cautious about the impact of large sell-offs on the tokens upward momentum.
Polygon in Todays Market
The technical indicators reveal a bullish flag pattern for POL. This pattern suggests further upward momentum if resistance levels break. The immediate resistance is at $0.5552, while support rests at $0.3968. A breakout above $0.5552 could push the price toward $0.60. Conversely, a drop below $0.3968 may trigger a bearish sentiment.
The Relative Strength Index (RSI) currently stands at 72.39, indicating overbought conditions. Its average at 61.36 reflects growing bullish momentum. Moving averages add to the bullish case, with the 9-day MA at $0.4454 above the 21-day MA at $0.3968. This crossover signifies a strong uptrend and potential for sustained gains.
While the price rally and bullish patterns support continued growth, sell-off risks from whales remain significant. POLs price surge, coupled with Alamedas token transfers, creates a volatile scenario.
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Text source: TheNewsCrypto – Blockchain & Cryptocurrency News M
