Despite a 21% price drop in Polygon (MATIC) last month, the number of whales holding the token increased by 2%, according to Santiment's on-chain data. Additionally, larger whales boosted their stakes by 5%, now holding 21% of MATIC's circulating supply.

This growth in whale activity contrasts with the overall crypto market, which saw an 11% decline in capitalization over the same period. MATIC's price drop reflects the broader market downturn, but experts note that fundamental momentum indicators suggest the token may be oversold.

The Relative Strength Index (RSI) and Money Flow Index (MFI) are below their center lines, indicating significant downward pressure. The parabolic SAR indicator also suggests a continued downturn.

However, this overselling could potentially lead to a rebound. While the global crypto market struggles, Polygon's whale community remains resilient, hinting at potential future growth.