MATIC price is bottoming out, next target at $1.80

MATIC price could be showing early evidence of a market bottom. Traders and scalpers may find future MATIC price action enjoyable if market conditions sustain.

MATIC price could bounce from here

MATIC price is showing bullish potential on the 8-hour chart. It was mentioned in last week’s thesis that traders should wait for a pullback into the $1.65 to $1.55 zone before joining the Polygon bulls. MATIC price did pull back into the expected buy zone, printing a very bullish hammer candle followed by an initial rally. Now, MATIC price is returning to retest the upper end of the buy zone with a few noteworthy bullish signals.

On the one hand, MATIC price sell pressure after the initial rally into the week is tapering off on the volume profile. Secondly, the Relative Strength Index has a very flamboyant bullish divergence as the Polygon price trades currently at $1.62. Traders can expect the price to begin crawling upwards or wait for a second dip into the lower half of the buy zone at $1.58. 

MATIC/USDT 8-Hour Chart

Bulls entering around $1.65 are likely to take some profit at the $1.80 level, which lines up with the 100-Day moving average. An extended target would be $2.

Invalidation for the bullish thesis will be a close at $1.55 or below on the 8-hour chart. If the bears can accomplish such price action, they should easily be able to send MATIC to $1.50 and $1.40 up to 13% below the current price.