© Stocksak Polygon Price Stalls Around $1 After Bullish Breakout
- MATIC jumped by more than 7% in the past 24 hours
- Polygon’s current resistance level is $1.0
- Polygon surged to $1.0, but has remained at this level since then, possibly due to profit taking.
Recent developments in Polygon’s layer 2 scaling tool and partnerships with major companies have caused buying pressure. MATIC surged to $0.96 in recent price increases. This is a 6.45% rise over the past 4 days and a level not seen for 2 months.
This comes after Polygon announced that it would be integrating with Nubank, a Brazilian fintech company backed by Warren Buffett’s Berkshire Hathaway (NYSE:) and Softbank (OTC:). Nubank has confirmed that it has selected Polygon’s “Supernets technology” for its blockchain and digital token, dubbed Nucoin.
MATIC price movement (Source from Coinmarketcap
Polygon currently trades at $0.958. It has a trading volume trading volume of $613.298,996.12 ranked a position 11. Polygon has broken successively above both the 200 Simple Moving Average (200MAA) and the 0.5 Fibonacci Retracement levels, which acted like resistance for the past few week. However, it has stalled below the $1 resistance level and may now be facing profit-taking stress.
Polygon is currently looking for a bull formation on the daily charts. If it breaks above $1, this could cause a price rise. A bull flag forms when there’s a sharp price increase, followed by a period that is stable. This is usually considered a continuation pattern.
Polygon also surged past a potential ascending channel and a resistance line, which could indicate more upside momentum.
Daily chart (Source: TradingView
MATIC appears to be following the broad-based altcoin market rally, with a strong uptrend developing on its 4-hour chart. The technical indicators show an increase in buying pressure with the Moving Average Divergence (MACD) line crossing above its signal line. The Relative Strength Index currently stands at 70, which indicates that the coin could be overbought or under profit-taking pressure.
MATIC/USD 4-hour chart Source: TradingView
The ATR (or average true range), which measures volatility, is also rising and indicates increased market activity. Polygon has experienced a significant price change over the last 30 days. This ranged from $0.6981 on September 22 through a current high at $0.9600. This may indicate that it could be subject to increased volatility in future.
MATIC’s next resistance levels are $1.20 & $1.50. Support levels at $0.8 & $0.6 respectively may be important. The support level at $1.0 could provide some protection against any price pullbacks. Polygon is currently in a strong uptrend and recent developments and partnerships suggest that this trend may continue in the short term.
The post Polygon Price Stalls Around 1 After Bullish Breakout appeared originally on Coin Edition.