MATIC price holds more gains as Polygon still targets $1.60

Polygon (MATIC) price action has been trading higher as bulls jumped on the entry points offered near the 200-day Simple Moving Average (SMA) and $1.06 in the past few weeks. MATIC bulls ook out the 55-day SMA and the monthly pivot, around $1.40. Further gains to come in MATIC price action as $1.57 is the first level to see some profit-taking.

MATIC price break above $1.57 spells acceleration of the bull run

MATIC price favors the bulls as price action bulls have had a few excellent entry points near $1.07 with a historical level from the first week of September and the weeks after that in the false breaks below the 200-day SMA. MATIC price action was able to provide some bullish signals by making higher highs each time. This attracts new buyers each time a new profit level has been reached. 

MATIC price action will now see new buyers coming in as the 55-day SMA has been broken to the upside. The next phase is some profit-taking that will occur near $1.57. If MATIC price action can withstand some profit-taking, expect new buyers to step in and ramp up price action further towards $1.75 quite quickly. Should market sentiment remain risk-on for some weeks, and provide some favorable tailwinds, $2.50 could be the icing on the cake for the bulls.

MATIC/USD weekly chart

If MATIC price action starts to fade and market sentiment next week would take a turn for the worse, expect a quick reversal towards $1.02. As the 200-day SMA has already done its duty twice, it is not sure it will see bulls entering at the same volume and willingness for the third time. Rather expect a squeeze towards $0.8, with the monthly S1 support level as a supporting element.