MATIC Price Prediction: Polygon could scale to $1.70 after minor pullback
- MATIC price tagged the $1.43 resistance level but failed to close above it.
- Before a new uptrend emerges, Polygon might retrace 8% to $1.25, a stable support barrier.
- A breakdown of the $1.02 demand area will invalidate the bullish thesis.
MATIC price underwent an impressive upswing over the past month as it shattered multiple resistance barriers and reached levels last seen roughly two months ago. However, the uptrend might need to take a break before a new leg-up begins as the entire cryptocurrency market sprouts signs of exhaustion.
MATIC price awaits a minor sell-off
MATIC price rallied a whopping 138% since July 20. The last leg of the rally pierced the $1.43 resistance barrier but failed to close above it. This development indicates that it was a move to collect liquidity resting above these highs and that a pullback is on its way. Moreover, a similar struggle is being witnessed by the big crypto, Ethereum and many altcoins.
Therefore, investors can expect this rally to retrace to the $1.25 stable support level, roughly 13% from $1.43. Market participants can expect a resurgence of buyers from this point to produce a decisive 12-hour candlestick close above $1.43. This move opens up the path to a 20% ascent to $1.72.
MATIC/USDT 12-hour chart
Although unlikely, MATIC price might breach the $1.25 foothold in certain situations. While this crash might delay the upswing, it will not jeopardize it.
However, if the $1.02 demand barrier is shattered, it will create a lower low and invalidate the bullish thesis. This extension of the downswing might trigger selling pressure, which might lead to a 12% crash to $0.90 and, in a highly bearish case, $0.78.
Author
Akash Girimath
FXStreet
Akash Girimath is a Mechanical Engineer interested in the chaos of the financial markets. Trying to make sense of this convoluted yet fascinating space, he switched his engineering job to become a crypto reporter and analyst.
