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Polygon Price Analysis: MATIC tackles intense resistance as bulls gaze at $1

Daily MATIC Price Forecast

Last Updated July 23rd 2021
2 Min Read
  • Polygon majestic rise from support at $0.29 hit a barrier at $0.9 all-time high.
    • The correction could delay the upswing to $1 based on various technical and on-chain levels.
    • Support is anticipated at $0.7, allowing more investors to join the market ahead of recovery.

    Polygon closed the gap toward $1, as discussed on Tuesday. The upswing gained momentum after cracking the former hurdle at $0.6. Bulls extended the up leg to $0.9 before a retreat occurred. Meanwhile, a correction is underway with MATIC testing support at $0.7. If technical levels continue to improve, the price may rebound to levels beyond $1.

     

    Polygon hunts for higher support as technical and on-chain levels wane

    The Relative Strength Index (RSI) reveals that Polygon could have secured higher support and is currently ready for gains above $0.8. This indicator tracks the trend of an asset and identifies overbought and oversold conditions. If the RSI holds above the midline and resumes the uptrend toward the overbought, the bullish momentum will gain traction.

    At the same time, the Moving Average Coverage Divergence (MACD) affirms the bullish outlook by moving higher in the positive region. Moreover, the MACD line gap above the signal line shows that the trend is the bulls’ hands.

    MATIC/USD four-hour chart

     MATIC/USD 4-hour chart 042821

    IntoTheBlock’s IOMAP model highlights that Polygon is in the price discovery model with no clearly defined resistance. On the downside, immense support has been established between $0.68 and $0.7. Here, 3,500 addresses previously bought around 388 million MATIC. This support seems robust enough to stop all bearish advances for losses eyeing $0.6.

    Polygon IOMAP chart

     MATIC/USD volume chart 042821

    The improving network growth has reinforced MATIC’s unstoppable uptrend. Over the last few days, a colossal number of newly-created addresses joined the network from roughly 1,500 on April 16 to approximately 5,800. As long as new users keep joining the network, the uptrend in the price will continue in the short term. A high network growth signifies that the project is gaining traction both in adoption and token value.

    Polygon network growth

     MATIC/USD networt chart 042821

    On the downside, it is worth mentioning that support at $0.7 is crucial to the uptrend. If this technical anchor is lost, the buyer congestion revealed by the IOMAP will come under immense pressure. Note that trading under this crucial level may culminate in massive losses, perhaps with Polygon retesting support at $0.28.

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