On-chain analytics firm Santiment has highlighted that mega whales of altcoins Polygon (MATIC), Injective (INJ), and Render (RENDER) have been moving their supply from exchanges to cold wallets. This trend could signal bullish price movements.
The Top Exchange/Non-Exchange Wallet Holdings indicator tracks the ratio between balances in the largest exchange-related and self-custodial wallets. The chart shows significant declines in this ratio over the past two years for these altcoins, suggesting a shift towards self-custody.
MATIC experienced a sharp decline in exchange holdings on the 9th of this month. Render's mega whales transferred a large amount to cold wallets on July 21st, while INJ saw a similar trend beginning in August last year and continuing gradually.
Investors often keep assets on exchanges for trading, so reduced exchange balances could mean lower potential sell supply and a bullish outlook. However, a reversal in this trend could indicate a bearish market shift.
Currently, Render's price is around $4.8, down 8% over the past week.
