- Polygon price saw bulls trying to break to the upside above the 55-day SMA last week.
- MATIC price has been on the descent this week, but bulls keep pushing the lows higher with heavy buying on the dips this week and previous weeks.
- The longer-term uptrend is still very much intact, with the 200-day SMA still tilted to the upside.
Polygon (MATIC) price saw bears trying to break the longer-term uptrend MATIC is in with the 200-day Simple Moving Average (SMA) as a supporting technical indicator.
Bears in MATIC price action were able to break below the 200-day SMA for two weeks in September, but bulls kept buying the dips, which resulted in higher lows since the week of September 20. To the upside, the 55-day SMA is forming a cap for any upside potential, but the grind in the 200-day SMA should eventually open up more upside in favor of the bulls in the coming weeks.
MATIC price sees bulls continuing the uptrend toward $1.80
MATIC price sees bulls coming in and buying the dip each week on the lows, causing the weekly candles to show higher lows. Although this squeeze has been going on for four weeks, without really making many new highs, it shows the trend will take quite some time to get done. With bulls reclaiming $1.19, the squeeze against the bears should be gaining some speed.
MATIC price saw bears defending $1.40 and are trying to make a lower high against the one from last week. In that downward move, bears were able to reclaim the 55-day SMA at $1.35.
Expect the 200-day SMA to outweigh the 55-day SMA. As price action in MATIC will still move to the upside, the 55-day SMA will start to tilt to the upside as well, and bulls will get an opportunity to tip the scale in their favor and jump toward $1.80.
MATIC/USD weekly chart
In case bears can add some headwinds in MATIC price action, for example, with a disappointing earnings season and the stock markets selling off again for a few days, investors will start to look for safe havens. Cryptocurrencies will be the first on the chopping block. Expect bulls to exit their positions quickly, and MATIC price action could correct to $0.20.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.