Polygon (MATIC) Price Prediction: Will it come in at $1?

Polygon (MATIC) price broke out of a downward resistance trend line that had existed for over 780 days.

Is this the start of a new bullish cycle or will MATIC not be able to maintain its upward trend? Continue reading below to find out.

Polygons finally escape

According to technical analysis on weekly time frames, MATIC price broke out of the 780-day bearish resistance trend line last week. The weekly closing price is the highest since April 2023.

MATIC fell slightly after the breakout, but retested the resistance trend line as support this week. This is a typical move after such a breakout.

Despite the breakout from this long-term diagonal resistance, MATIC price has not yet broken out of the key horizontal resistance area that has existed as support and resistance since July 2021.

Nonetheless, the weekly Relative Strength Index (RSI) is showing strength. When assessing market conditions, traders use RSI as a momentum indicator to determine whether the market is overbought or oversold and whether to accumulate or sell.

If the RSI reading is above 50 and the trend is up, bulls still have an advantage, but the opposite is true if the reading is below 50. The indicator is above 50 and increasing, which are all signs of a bullish trend.

MATIC Price Prediction: Can it reach $1.50?

The daily time frame technical analysis supports the bullish results of the weekly analysis due to price action, wave count and RSI readings.

The price action shows that MATIC has broken above the upper end of the $0.95 range, confirming it as support (green icon). This movement, combined with a hidden bullish divergence in the daily RSI (green trend line), often led to a continuation of the trend.

We predict continued increases in wave numbers well beyond $1. Technical analysts use Elliott Wave Theory to determine the direction of trends, studying recurring long-term price patterns and investor psychology.

The most likely readings suggest that MATIC price is in wave 3 of a 5 wave upward movement. Offering wave 3 of the same length as wave 1 would result in a top price of $1.55, 60% higher than the current price.

Despite the optimistic MATIC price prediction, if the daily close falls below $0.95, it means that a local high has been reached. MATIC could then fall 25% to the nearest support at $0.74.

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