Polygon Price Analysis Hints Major Reversal to $1.5 As Buyers Hit Key Resistance

As a seasoned crypto investor with a keen eye for market trends, I find the recent analysis of Polygon (MATIC) intriguing. The sideways trading since last week, with MATIC struggling to surpass the $0.768 resistance, is a common occurrence in the volatile world of cryptocurrencies. Yet, this consolidation within the range between $0.768 and $0.64, as depicted in the chart pattern, hints at an accumulation phase before a potential bullish rally.


Analysis of Polygon‘s Price: The price of MATIC, the native cryptocurrency of the Polygon network, has been stuck in a holding pattern over the past week, unable to break through the $0.768 resistance. This stagnation mirrors Ethereum‘s trend as investors remain uncertain about the potential approval of the Spot ETH ETF. With the larger market yet to provide clear indications of an upturn, the existing supply could keep the sideways trend in MATIC intact since mid-April.

Chart Pattern Hints Trend Reversal for Polygon (MATIC

Polygon Price Analysis Hints Major Reversal to $1.5 As Buyers Hit Key Resistance

Over the last six weeks, I’ve noticed that the Polygon price has been trading in a sideways pattern between the two horizontal levels of $0.768 and $0.64. The back-and-forth movements within this range suggest that neither buyers nor sellers have gained clear control of the market.

Based on my analysis of the daily chart, I’ve noticed that the price has been consolidating just above the support trendline of a developing symmetrical triangle. This pattern theoretically suggests a significant period of sideways movement, which in turn allows the existing trend to rebuild its strength. According to historical data, such lateral movement above the triangle support often precedes a bullish rally, signifying an accumulation phase.

Additionally, in a recent tweet from the prominent trader alicharts, the TD Sequential indicator was utilized to identify a strong buying opportunity on the $MATIC weekly chart.

Based on the TD Sequential indicator’s analysis of the $MATIC weekly chart, there is a buy signal in place, indicating that Polygon may experience a rise of one to four consecutive weekly candlesticks.
— Ali (@ali_charts) May 27, 2024

Based on the analysis, there’s a strong indication that Polygon (MATIC) could experience an upward trend over the next one to four weeks. This prediction is reflected in the candlestick charts, which show a likely positive price movement during this timeframe.

Should the polygon coin successfully surmount the resistance above it, this event might indicate a significant trend reversal. According to current projections, such a development could potentially propel the asset towards a 52% increase, reaching approximately $1.15.

Technical Indicator

    Bollinger Band: The flattish trend in the Bollinger Band indicator accentuates the neutral market trend and the need for a decisive breakout from the range formation to reenter a directional rally. 
    Average Directional Index: The falling ADX slope indicates the MATIC price is stabilizing from the prior downtrend, which indicates sellers have an opportunity to break bottom support.

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2024-05-27 18:53