MATIC price eyes 22% advance after dYdX lists Polygon

MATIC price has seen a massive bull rally over the past week. The recent listing of MATIC-USD perpetual on the dYdX platform and other developments might push Polygon on another leg-up.

dYdX and Mask Network boost Polygon adoption

dYdX Protocol is an open trading platform that recently listed a MATIC-USD perpetual, which can be traded up to 10X leverage by investors outside the US.

Unlike trading on a traditional centralized exchange, dYdX offers market participants operating with no gas fees and low trade fees.

In a tweet, the platform detailed its plans for the future as it stated,

Over the upcoming months, we plan to add 1-2 additional markets every week from sectors such as DeFi, emerging Layer 1 blockchains, and more.

The dYdX platform supports 16 perpetual markets on Layer 2, with plans of adding more shortly.

While this development will allow traders to take advantage of MATIC price swings, Mask Network announced that it was live on Polygon, furthering its adoption.

Mask Network, which describes itself as “The Portal to the New, Open Internet,” notified that its integration with MATIC and the Binance Smart chain network is “the beginning of the Web 3.0 multi-chain era.”

Noting the advantages of integrating the Layer 2 solution, the blog read,

We are excited about the multi-chain era. This not only lowers the cost for users, provides a richer experience but is also an inevitable stage of Mask Network’s vision of creating an open internet of the future. 

Additionally, the announcement mentioned that going live on MATIC and other blockchains will increase the diversity of users and help create faster and cheaper DApps while broadening the scope of the ecosystem.

MATIC price looks to continue its upswing

MATIC price rose roughly 47% in less than four days. This uptick stopped right before the resistance level at $1.739. However, the decisive close above the 50% Fibonacci retracement level at $1.587 reassures that the potential retracement might be short-lived. A worst-case scenario would be an 11% dip toward the support level at $1.465.

Investors can expect the resurgence of buyers at these levels, which might resume the leg-up. If this were to happen, MATIC price could rise 18% to breach the immediate resistance level at $1.739. Following this, the subsequent barriers at $1.947 and $2.027 will be tagged. 

However, in a highly bullish scenario, Polygon could rise to create an equal high at $2.262 before tagging the range high at $2.2433.

MATIC/USDT 4-hour chart

While it will not invalidate the upswing, a dip into the 62% or 70.5% Fibonacci retracement levels at $1.382 and $1.238, respectively, will provide MATIC buyers another chance at the bull rally.

However, a breakdown below 79% Fibonacci retracement levels at $1.095 would invalidate the bullish thesis. Such a move might further trigger a 32% sell-off to $0.74.