- If a bullish breakout occurs, MATIC could soon rise to $1.50.
- Before aiming for $1.50, MATIC needs to break above $0.54 on the chart.
Polygon (MATIC) Investors have been struggling lately with the token price steadily dropping on the charts. While this may seem concerning now, MATIC may soon have a trick up its sleeve. That trick could take it to $1.50 in the coming weeks or months.
Polygon’s recovery plan
According to CoinMarketCap dataMATIC has seen a double-digit price drop in the past month, with its value plummeting 16%. At the time of writing, the token is trading at $0.4233, giving it a market cap of over $4.2 billion, making it the 21st largest cryptocurrency.
The massive price drop has resulted in losses for most investors. To be exact, only 2% of MATIC investors have made a profit at the time of writing.
Source: IntoTheBlock
Analysis of Santiment’s data shows that MATIC’s weighted sentiment has fallen into negative territory.
Whenever this happens, it indicates that bearish sentiment surrounding the token is dominant in the market. However, on August 8, there was a surge in social volume, reflecting its popularity in the crypto space.
Meanwhile, popular cryptocurrency analyst ZAYK Charts said: tweet Highlights interesting events.
According to the tweet, a bullish pattern has formed on the MATIC price chart. Similar patterns have appeared on the MATIC chart in the past, which led to bullish rallies. Therefore, if history repeats itself, MATIC could soon register green on the chart. In fact, the rally could allow the token to reach $1.5.
Source: X
MATIC’s upcoming goals
Since the prospect of MATIC reaching $1.50 in the short term sounds ambitious, AMBCrypto took a closer look at the token’s status.
We found that investors were buying MATIC. This is because the supply on the exchange has decreased somewhat while the supply off the exchange has increased. However, the MVRV ratio has remained low. This is a bearish signal.
Source: Santiment
Finally, the token’s Relative Strength Index (RSI) has remained in the overheated sell zone, which could help increase buying pressure and, consequently, push up the price of MATIC.
Additionally, Chaikin Money Flow (CMF) has also seen a surge and its token price has reached the lower limit of the Bollinger Bands, which increases the possibility of a price increase for the altcoin.
Is your portfolio green? Check this out: MATIC Profit Calculator
In the event of a bullish takeover, the price of MATIC may first reach $0.54. There is a possibility of a short-term price correction as liquidations increase rapidly at that level.
A successful break above that could see the altcoin target $0.60. However, if the downtrend continues, the cryptocurrency could crash to $0.33.
Source: Hyblock Capital