MATIC Price Prediction: Polygon Bulls Aggressively Chase After $2
- MATIC price breaks out of consolidation between $1 and $1.1.
- Polygon rises to $1.48, a level not seen since June 18.
- The transaction history model shines a light on the absence of robust resistance that could delay the breakout above $1.5.
Polygon bulls came out strongly during the mid-week session to post impressive gains toward $1.5. Before the breakout, MATIC danced in a range between $1 and $1.1, where it consolidated for more than two weeks.
Investor interest improved as the price cracked the barrier at $1.1. Besides, another break beyond $1.2 bolstered Polygon above past the ascending parallel channel’s middle boundary. The bulls stretch the leg toward $1.5 but hit a wall at $1.48, slowing down the action. Moreover, the channel’s upper edge contributed to the selling pressure roughly at the same level.
MATIC Price Hunting For Higher Support
The 12-hour chart shows Polygon trading at $1.36 following a retreat from the recently traded August high. According to the Relative Strength Index (RSI), the smart contract token is overbought, and a correction remains probable. If the RSI retreats into the neutral area, more sell orders will be triggered, perhaps by investors choosing to take early profits.
Consequently, to keep the uptrend going, Polygon should regain and retain a position above $1.4. Here, bulls will start focusing on executing gains toward $1.5 and later work on the ultimate liftoff to $2.
MATIC/USD 12-Hour Chart
It is noteworthy that the Moving Average Convergence Divergence (MACD) indicator has a bullish impulse. The bullish outlook emanates from a recently presented buy signal. Realize that the MACD is a trend-following technical index. In addition to that, it calculates the momentum of an asset, thus foreseeing the future trend.
Traders can use this tool to identify entry and exit positions. Currently, the most probable path is upward based on the MACD’s movement above the mean line. As long as the technical outlook remains unchanged, Polygon’s direction with the least resistance would be upward toward $2.
The IOMAP on-chain metric that groups addresses and the volume of tokens purchased reveals little hindrance for Polygon’s uptrend toward $1.6. Nonetheless, the model suggests that traders pay close attention to the region at $1.47. Here, 372 addresses previously bought 50.5 million MATIC.
Polygon IOMAP On-Chain Metric
On the downside, the token sits on top of a massive support area highlighted between $1.24 and $1.28. Here, nearly 3,000 addresses previously scooped up 630 million MATIC. As long as this support stays intact, buyers will only worry about launching a recovery mission beyond $1.6 and toward $2.
Looking At The Other Side Of The Picture
On the other hand, if losses gain traction and Polygon closes the day below the support above, the price will lose ground to refresh the areas between $1 and $1.2. The 200 SMA on the 12-hour chart is also inline to offer support of around $1.25. Other levels to keep in mind are the ascending parallel channel lower edge, the 50 SMA, and the 100 SMA.