The recent recovery cycle in the crypto market seems to be linked to the interest of major asset management companies in spot Bitcoin ETF. One coin that has greatly benefited from this recovery is MATIC, which saw its price rally as market leaders Bitcoin and Ethereum experienced significant inflow. If the bullish momentum continues, it’s expected that the altcoin would rise another 12-15% before encountering the next significant resistance. Could this be a good time to invest?
Over the past two weeks, the MATIC price has been somewhat stuck in a sideways trend, caught between the sentiment of an overall downtrend and accumulation pressure at lower prices. However, as the bullish sentiment in the market increased, buyers began a new relief rally with the help of a new ascending trendline. In the 4-hour timeframe, this rising trendline provides dynamic support to buyers, pushing the price to higher levels.
The intraday trading volume in MATIC is $278.5 million, which represents a 41.5% loss. Current market conditions show a 24% growth from last week’s swing low of $0.56, reaching an overhead resistance of $0.692. At the moment, the coin price is at $0.667, registering an intraday gain of 1.62%.
On the other hand, the recent failure of prices to surpass the $0.71 resistance might trigger a minor correction to retest the support trendline. This pullback could offer interested traders an opportunity to enter and take advantage of the ongoing recovery cycle. A potential retest of the mentioned trend could reignite the bullish momentum in Polygon coins, continuing the recovery rally. If buying pressure remains, the coin’s price may rise by 12-15% before meeting the long-standing resistance trendline.
The 20-day Exponential Moving Average (EMA) serves as dynamic resistance, aiding sellers in pressing the MATIC price to lower levels. Moreover, a bullish crossover between the Moving Average Convergence Divergence (MACD) and the signal line indicates increasing buying pressure among traders.
Breaking out of the downtrend resistance is crucial for a better confirmation of trend reversal in this altcoin, which has been struggling for several months. As always, carrying out proper market research before investing in cryptocurrencies is essential, as the author or publication holds no responsibility for any personal financial loss.
In conclusion, while the current market recovery and interest in Bitcoin ETFs present potential opportunities for investors, it’s essential to consider the possible minor pullbacks and overall market volatility before making any investment decisions.
Source: Coingape
