• MATIC price is trading inside a demand zone that extends from $0.685 to $0.768, awaiting a bounce.
  • The MRI has flashed a buy signal, indicating a reversal in the downtrend.
  • Polygon eyes a 12% surge to the immediate resistance at $0.828 but could extend its rally to $0.872.

MATIC price saw a steep downtrend in under 48 hours that has pushed it to a critical support barrier. Now, a resurgence of buyers could start its uptrend toward the recent swing highs.

MATIC price to kick-start new upswing

On the 4-hour chart, MATIC price shows that it is finding a foothold deep inside a demand zone that ranges from $0.685 to $0.768. A spike in buying pressure here could push Polygon out of this containment and set the stage for a new rally.

Supporting this quick run-up is the Momentum Reversal Indicator (MRI), which flashed a green ‘one’ candlestick. This setup projects a one-to-four candlestick upswing.

Hence, investors can expect buying pressure to pick up. In such a scenario, the MATIC price could rally toward the first resistance level at $0.828, a 12% upswing from its current position.

A breach of this barrier could see Polygon rally to $0.872.

While MATIC price could stay range-bound between $0.685 and $0.872, a decisive breach above the upper end could see a retest of its all-time high at $0.94.

MATIC/USDT 4-hour chart

MATIC/USDT 4-hour chart

Regardless of the bullish indications, if MATIC price slices through $0.685, it stays below this area for an extended period. Investors could expect an invalidation of the bullish thesis for a short period.

If this were to happen, Polygon could slide 10% to the demand barrier at $0.618.

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.

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