MATIC price surges by 8% following the launch of NFTs on Meta
|- MATIC price inches closer to $1, possibly flipping a six-month-old resistance into support.
- The altcoin is still stuck in months-long consolidation, which could result in corrections if buying pressure falters.
- Meta launched the NFT minting and selling option for Instagram, making Polygon its first partner chain.
MATIC price reacted to the ongoing developments on Polygon, reigniting bullish sentiment among its investors. The indicators also highlight chances of an extended rally, which would place the cryptocurrency in the profitable zone.
MATIC price on the rise
MATIC price touched $0.95 following an almost 9% rally in the last 24 hours. The intra-day highs noted the altcoin rising by more than 13.4% at one point but did not hit the $1 mark.
As per earlier analysis, following the 6.86% drop this week, MATIC was expected to shoot up and establish a bullish momentum. By the looks of it, the cryptocurrency might be on its way to doing that.
The Relative Strength Index (RSI) is still in the bullish neutral zone, away from the overbought territory. This means there is still room for consistent buying pressure before prices begin swinging in the opposite direction.
Should MATIC test $1 as resistance and traders hold off on liquidating their assets, the altcoin could breach through to reclaim the level as support. In doing so, it would also flip the 50% Fib line of the Fibonacci Retracement of the $1.69 to $0.34 decline. This zone is expected to observe some sell-off as investors could begin profit booking.
However, should Thursday’s green candle be the last of the week and prices drop, MATIC could not lose a lot. It has the support of the 38.2% Fib line at $0.86, while $0.62 is the current critical support zone.
MATICUSD 1-day chart
Holding off any selling could be a better option until recovery, as Polygon is currently in a sea of positive developments.
Meta onboards Polygon NFTs
According to an announcement on November 2, Meta – the company owner of Facebook, Instagram and Whatsapp, among others – began testing the option of showcasing and selling NFTs at the hands of creators and collectors themselves.
This will allow billions of users worldwide to create their own NFTs and bring them to a broader audience. Meta has decided to use the Polygon blockchain to facilitate the same, which is a bullish development for the project.
Furthermore, as reported by FXStreet on Wednesday, Polygon was part of the first-ever institutional DeFi trade conducted by Singapore. JP Morgan, along with the DBS Bank and SBI Digital Assets Holdings, took part in the pilot program to explore the potential DeFi applications in institutional markets.
These instances showcase the rapidly expanding use cases of Polygon and their real-world applications, which is a boon for MATIC price as well.
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