MATIC price rally hits the pause button while Polygon bulls still eye $2.50


  • MATIC price has been trying to break $1.75 to the upside. 
  • Polygon bulls tried to get price action above the orange ascending trend line but failed. 
  • Expect to see another attempt for a breakout soon, after this rally takes a breather and new buyers get into Polygon. 

Polygon (MATIC) price has seen bulls trying to break above the orange ascending trend line, but the attempt got rejected at $1.75. Since then, MATIC price action came off the boil a little bit and offered some profit-taking at the higher levels, providing now some entry points at $1.40. 

Expect momentum to build further in favor of bulls with a break and consolidation above the orange ascending trend line and next to the break above $1.75. 

MATIC price sees RSI pointing to the next phase of the rally

MATIC price saw a bullish breakout and rejection at $1.75. Bulls tried to break above the orange ascending trend line and a historical resistance level, but the price started to fade during the days after that. Bulls took profit at $1.75 but are impatient to lift MATIC price another leg higher, as the Relative Strength Index already shows that buyers are coming back in again after barely hitting the oversold barrier. 

MATIC price will see price action continue to evolve in favor of the bulls further. The next attempt will be one where the price will consolidate above the orange ascending trend line and thus build further volume to break the $1.75 resistance level. Once that breaks, expect more bulls to be added to the rally, as MATIC price proves to finally break out of the resistance that has kept MATIC price action muted since the beginning of June.

 

MATIC/USD daily chart

MATIC/USD daily chart

MATIC price will be lifted higher by the new buyers coming in on the break above $1.75 and the favorable tailwind currently present in cryptocurrencies. The recovery in the stock markets last week has also helped lift investors sentiment back towards riskier assets. Faithful bulls could see profits running up towards $2.50, or a 45% return, depending on their entry. 

Should market sentiment turn for the worse and tailwinds in cryptocurrencies start to fade, expect more bears to come in. The RSI would show some heavy profit-taking in MATIC price, and a quick break towards $1.06 would be the expected outcome. Should bears be able to consolidate even below the 200-day Simple Moving Average (SMA), expect a retest of the low of July, at $0.62.

 




 

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.

Cryptos feed

Latest Crypto News


Latest Crypto News & Analysis

Editors’ Picks

Why Bitcoin has entered a new bear market

Bitcoin price has tumbled to a multi-month low below $33,000, as the leading cryptocurrency loses 50% of its value from its all-time high in November 2021. This marks the second-worst sell-off since the bear market that spanned from 2018 to 2020. Bitcoin bulls have definitely taken a backseat.

More Bitcoin news

Mastercard exceeds earnings expectations in Q4, aims to increase Ethereum scalability

Mastercard has seen its fourth-quarter net income rose to $2.38 billion from $1.79 billion and its reported revenue of $5.22 billion, exceeding analysts' expectations. CEO of Mastercard stated that the firm aims to increase Ethereum scalability.

More Ethereum news

XRP Price Prediction: One wrong move could put Ripple at risk of a 70% nosedive

XRP price is at risk of a significant move to the downside after it dropped below a critical line of defense. If Ripple slides below $0.58, the bulls can expect further losses as the prevailing chart pattern puts a 70% decline on the radar.

More Ripple news

Sandbox Price Prediction: 40% bull rally at risk of terminating

Sandbox price has made some wild price swings this week. From the open, it has moved from $3.34 to $2.55 – a 23% drop. Then, SAND rallied nearly 40% to $3.55 from the weekly low at $2.55. Selling pressure resumed upon hitting the weekly high.

More Sandbox new

Bitcoin: BTC may capitulate to $30,000

Bitcoin price has dropped considerably over the last three weeks. The recent downswing has made things worse for BTC and hints that a steep correction could be on its way.

Read full analysis

BTC

ETH

XRP