Polygon Price Analysis – MATIC Bulls Continue To Show Strength As They Battle Short-Term Descending Trendline

Key highlights:

  • MATIC is up by a strong 124% over the past month as the coin trades at $1.84.
  • The platform was recently integrated into Google’s BitQuery Service. 
  • Against BTC, MATIC remains above 5000 SAT and is inside a short-term triangle pattern.

Buy Matic on Binance

Matic price $375
Key MATIC resistance levels $2.00, $2.20, $2.44, $2.60, $2.70
Key MATIC support levels $1.80, $1.58, $1.32, $1.20, $1.06

*Price at the time of writing

The growth of MATIC has been quite superb in May after the coin surged by a mighty 124% to reach the current $1.84 level. The cryptocurrency was trading beneath $0.4 at the end of April and exploded this month to set a new ATH price at $2.69.

Since setting the ATH, the coin has been trapped beneath a short-term descending trend line and must overcome this level for the bullish leg to continue higher.

Polygon was created as a framework to increase scalability and interoperability between Etheruem and other blockchains. It is a layer-2 scaling network that is designed to allow a higher throughput on the Ethereum blockchain. The Polygon SDK allows for a modular framework that allows developers to create dApps on top of its Layer-2 solution.

The project was recently integrated into Google’s BigQuery Service, allowing data from the blockchain to be analyzed on the platform itself. It will provide a method for users to monitor different on-chain metrics, including smart contract data.

Today, 0x announced that they had released a Polygon version of their API for its decentralzied exchange liquidity aggregator. This now opens up the 0x API tool to the Polygon ecosystem and allows the protocol to aggregate liquidity across all existing sources, including QuickSwap, SushiSwap, and Curve Finance.

MATIC remains ranked in the 14th position as it currently holds a $9.11 billion market cap value.

Polygon (MATIC) Coin Price Analysis

What has been going on?

Looking at the daily chart above, we can see that MATIC surged to a new ATH on the 18th of May as it reached $2.69. From there, the coin started to slide during the market capitulation seen over the past fortnight. During the market-wide sell-off, MATIC dropped until support was found at $1.06 – provided by a .618 Fib Retracement.

The market rebounded from $1.06 last week as it surged higher to reach as high as $2.44. However, it was unable to close a daily candle above $2.20. It rolled over at $2.20 and started to fall during the end of last week until support was found at $1.58 (.382 Fib Retracement).

It bounced from $1.58 at the start of this week and reached as high as $2.00 today. It has now formed a descending trend line and must break this resistance to make another run back to the ATH price again.

MATIC Coin price short term prediction: Bullish

MATIC is strongly bullish right now and would need to break beneath $1.00 to turn neutral again. It would have to continue further beneath the May lows at $0.685 to be in danger of turning bearish in the short term.

If the sellers push lower, the first support lies at $1.58 (.382 Fib Retracement). This is followed by $1.40, $1.32 (.5 Fib Retracement & rising trend line), $1.20, and $1.06 (.618 Fib Retracement & 50-day MA).

If the market falls beneath $1.00, support lies at $0.8, $0.685 (.786 Fib & 100-day MA), and $0.6.

Where Is The Resistance Toward The Upside?

On the other side, the first resistance lies at $2.00 (falling trend line). Above this, resistance lies at $2.20, $2.44, $2.60, and $2.69 (ATH).

Beyond the ATH price, resistance is located at $2.80, $3.00, $3.24 (1.272 Fib Extension), and $2.340. Additional resistance is expected at $3.52 (1.414 Fib Extension), $3.80, and $3.95 (1.618 Fib Extension).

What has been going on?

Against BTC, MATIC is performing remarkably well. The coin rebounded from 3000 SAT after the market-wide capitulation. It reached as high as 5700 SAT last week and started to head lower from there until support was found at 4500 SAT at the weekend.

MATIC is now trading inside a short-term symmetrical triangle pattern and is battling the lower boundary of this pattern at 5000 SAT.

MATIC/BTC price short term prediction: Bullish

MATIC is bullish right now and would need to drop beneath 3000 SAT to turn neutral in the short term. It would have to continue to drop beneath the May support at 1500 SAT to be in danger of turning bearish.

If the bears break beneath the triangle, the first support lies at 4673 SAT (.236 Fib Retracement). This is followed by 4500 SAT, 4000 SAT (.382 Fib Retracement), 3500 SAT (.5 Fib Retracement), and 3000 SAT (.618 Fib Retracement).

Where Is The Resistance Toward The Upside?

On the other side, the first level of resistance lies at the triangle’s upper boundary at 5500 SAT. This is followed by 5700 SAT, 6000 SAT, and 6638 SAT (ATH price).

If the buyers can break the ATH price, resistance can be expected at 7000 SAT, 7500 SAT, 8000 SAT, and 8125 SAT (1.272 Fib Extension). This is followed by 8500 SAT, 8895 SAT (1.414 Fib Extension), 9000 SAT, and 9500 SAT.

Previous Technical Analysis

At CoinCodex, we regularly publish price analysis articles focused on the top cryptocurrencies. Here’s 3 of our most recent technical analysis articles:

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