This isn't something new of course, I have seen it many times but I don't really understand why such spikes happen. Why would someone pay $1 on Matic when he or she could buy tons of it for only $0.39?
This is not new and I only surprised that why you waited a long time to ask this question.
My answer can be wrong, but correct me if anyone feels it is wrong. This dumping candle can be explained like at the start of trading, of this trading pair, the company team sets up that sell order, and self-fills it by their small buy order. The order size can be small like a minimal amount on Binance, I remember it is $10. Then they let it has a free fall to lower price range, it is easy.
I don't know about Binance, but on other exchanges (smaller than Binance), when you want to list your coin on their exchanges, you will need to have fund requires for liquidity: the token and a stable coin, if the trading pair for listing is token / stable coin. You know with this available token and stable coin, the project team can do such fake candle easily.