- Polygon’s native cryptocurrency, MATIC, is poised for a bullish upswing following a correction phase, indicated by a breakout from a falling wedge pattern.
- Key indicators such as the Market Value to Realized Value (MVRV) ratio suggest potential gains of up to 30% in April, with analysts eyeing key resistance levels at $1.08 and $1.30 for significant price action.
Polygon’s native cryptocurrency, MATIC, is showing signs of a significant upswing following a recent correction period. The breakout from a falling wedge pattern on the charts suggests a potential 30% upside in April, bolstered by positive market indicators.
The price of MATIC saw a notable surge on Monday, concurrent with Bitcoin’s recovery from the $70,000 mark. This accelerated recovery momentum has allowed Polygon to regain lost ground, with the coin rebounding from a 50% retracement level and surging 7% to breach key resistance levels.
The recent correction in Polygon’s price was characterized by a falling wedge pattern on the 4-hour chart. This pattern, indicated by a resistance trendline, saw MATIC’s price drop from $1.29 to $0.86—a significant 32.8% loss. However, this correction phase represented a 50% retracement based on Fibonacci levels, pushing the price back up to $0.947.
Renowned trader Alichart’s analysis emphasizes the potential bullish trajectory for MATIC. The Market Value to Realized Value (MVRV) ratio, a key indicator, currently sits below 1—a historically favorable sign suggesting that MATIC may be undervalued and positioned within a buy zone. Historical data shows that similar MVRV levels have been followed by substantial price upticks for MATIC, with gains as high as 112% and 87%.
The resumption of recovery is further supported by MATIC’s behavior relative to its 200-day Exponential Moving Average (EMA). The price reversal from this EMA indicates that buyers are accumulating MATIC during market dips, bolstering confidence in the coin’s upward trajectory.
Intraday trading volume for MATIC has also shown a remarkable increase, currently standing at $314.9 million—an impressive 40% gain, reflecting growing investor interest and market activity.
The Road Ahead: Bullish Targets and Potential Resistance
The 30-day MVRV shows $MATIC is in the buy zone! Historically, the last two entries into this zone saw #MATIC surge by 112% and 87%. This is a pattern in #Polygon trend worth watching! pic.twitter.com/tICtvdLZ0d
— Ali (@ali_charts) April 7, 2024
If the current breakout sustains, analysts project a bullish rally for MATIC in April. Key resistance levels to watch include $1.08 and $1.30, where significant price action is expected.
Polygon’s MATIC is poised for a notable upswing after overcoming a correction period, as indicated by the breakout from a falling wedge pattern and favorable market indicators. With the Bitcoin market also showing signs of recovery, MATIC’s resurgence could signal broader bullish sentiment for the altcoin market. Investors and traders are eyeing key resistance levels for potential profit-taking opportunities, anticipating a 30% upside in MATIC’s price during the month of April.
