After a bearish phase in the last 24 hours, Polygon (MATIC) found support at the intra-day low of $0.6335 and began to show signs of a potential reversal as buying pressure started to increase. Consequently, bulls managed to push the price back above the $0.65 resistance level, indicating a possible shift in momentum towards the upside. This could lead to further price appreciation if buying interest continues to strengthen.
However, the resistance was at the intra-day high of $0.6743 before the bearish phase, so it may act as a key level to watch for potential selling pressure. If bulls can break through this resistance, it could signal a more significant upward movement for Polygon in the short term. At press time, MATIC was trading at $0.6744, a 1.95% surge from the intra-day low.
MATIC/USD 24-hour price chart (source: CoinMarketCap)
During the recovery, MATIC’s market capitalization and 24-hour trading volume surged by 1.83% and 20.89%, respectively, to $6,681,528,916 and $362,431,072. The increase in market capitalization and trading volume indicates growing investor interest in Polygon, which could provide further support for a potential price rally.
MATIC/USD Technical Analysis
On the MATICUSD 4-hour price chart, the Relative Strength Index (RSI) rating of 42.96 and moving upwards suggest that there is still room for further price gains in the short term. If the RSI continues to trend upwards and breaks above the 50 level, it could signal a bullish momentum for MATIC. Traders and investors should keep a close eye on key resistance levels for potential entry points to capitalize on the anticipated price rally. However, if the RSI fails to break above 50 and starts trending downward, it could indicate a potential reversal in price direction.
ADA/USD 4-hour price chart (source: Tradingview)
In addition, the Money Flow Index (MFI) rating of 39.52 also indicates a neutral sentiment, further supporting the need for caution in making trading decisions. If the MFI remains below 50, it could suggest a lack of buying pressure and potential for further downside movement in MATIC. Therefore, if the MFI continues to show weakness, it may be wise to wait for confirmation of a bullish trend before considering entry into MATIC.
With the Rate of Change (ROC) still in the negative region with a rating of -4.16, there may be some short-term volatility ahead for MATIC. If the ROC remains negative or improves only slightly, it could indicate a period of consolidation before a more significant price movement. However, a shift upwards in the ROC towards positive territory could signal a potential trend reversal and increased buying pressure for MATIC.
ADA/USD 4-hour price chart (source: Tradingview)
The Stochastic RSI rating of 59.94 and moving upwards suggests that there is still room for further price growth in the short term. This stochastic RSI rating indicates that MATIC may have some momentum building up, potentially leading to a price increase in the near future. Consequently, if the bullish momentum regains strength and breaches the intra-day high of $0.6743, the next resistance levels to watch out for are at $0.70 and $0.75. However, if the price fails to break above these resistance levels, we may see a retest of support at $0.60.
