Polygon (MATIC) is the altcoin in focus this time, as an analyst provides analysis of the crypto token. Based on this analysis, there is a feeling that things could soon start to look up for MATIC.
In a video shared on the Cheeky Crypto YouTube channel, crypto analyst JB noted that MATIC has declined following Bitcoin’s pullback.
However, this move is unexpected as it believes that the crypto token’s fall to the particular retracement area sets it up very well for an upward move.
Polygon Could See Significant Rally Soon
According to JB’s projection, MATIC could rise to between $0.87 and $1.36. JB also took into account other things that could suggest a bullish move is imminent. He referred to the stochastic level, which initially suggested an overbought condition. Nevertheless, it has corrected sharply, indicating that there could be another upward push for MATIC.
On the other hand, the crypto analyst was also wary of factors that could cause a downward movement. One of them is the volumes seen in various cryptocurrencies. JB stated that the current volumes are not large and this has weakened the prices of these crypto tokens. This could potentially hamper any projections of a bullish move.
On the other hand, there is the possibility that MATIC misses the crossover above the 200 EMA as this suggests that a decline is imminent. At the beginning of the video, JB also emphasized the 5-wave pattern that was forming on different time frames on the MATIC chart.
The analyst seemed unsure whether the fifth wave was forming or not. He noted that a push above $94.5 would suggest that the last wave is yet to come. There is also the possibility that it is simply an A, B and C pattern.
MATIC at $100 Still Possible
Still analyzing the MATIC price pattern on the charts, JB mentioned that he was still bullish on the crypto token ahead of the impending bull market. He had previously mentioned a target of $100 for MATIC in the next bull run, and he still maintains the projection.
In fact, JB noted that a new structure forming on the charts suggests the crypto token could go higher than that. As part of this prediction, he sees MATIC as a “powerhouse” in the bull market and as one of the most prominent altcoins.
One of the factors he believes will contribute to MATIC’s dominance is the potential approval of pending Ethereum Spot ETF applications. He believes that the crypto token could be a big beneficiary, considering its role in the Ethereum ecosystem. Recently, MATIC is trading at around $0.85, down more than 1%, according to data from CoinMarketCap.
Looking Ahead
Polygon’s (MATIC) path is marked by both potential opportunities and notable challenges. However, current market sentiment and price trends call for cautious optimism. Investors should closely monitor broader market trends and the integration and adoption of Polygon (MATIC) in the DeFi and Web3 spaces. While there is potential for growth, resistance levels indicate that Polygon (MATIC) may face obstacles to achieving a sustained upward trajectory.
The current cryptocurrency landscape is a complex interplay of optimism and caution. Bitcoin’s potential rebound to $37,000 could significantly impact established cryptocurrencies such as Polygon (MATIC), casting a shadow of uncertainty over their future.
Holders of these currencies should be aware of the possible influence of Bitcoin fluctuations on their investments. Additionally, it is advisable to do some research before making major financial decisions.
By Audy Castaneda
