MATIC price primed for prompt recovery, Polygon bulls target $2.40

MATIC price seems bound for a bullish impulse.
After dropping by more than 25% in the past five days, Polygon presents a buy signal.
A spike in buying pressure could see this cryptocurrency rise to $1.45 or $1.60.

MATIC price presents a buying opportunity at a crucial support level that could see it surge by over 15% over the next few days.

MATIC price looks primed to rebound

After surging to a high of $1.71 on June 15, MATIC price took a 25% nosedive. The sudden sell-off saw Polygon drop to a low of $1.28 recently.

Now, it seems like the rising trendline of a symmetrical triangle where MATIC price has been contained since May 18 could keep falling prices at bay.

While this support area seems significant enough to hold, the Tom DeMark (TD) Sequential indicator flashed a buy signal on Polygon’s 12-hour chart. The bullish formation developed as a red nine candlestick, which is indicative of a one to four 12-hour candlesticks upswing.

MATIC/USDt 12-hour chart

A spike in buying pressure around the current price levels could see MATIC price rise toward the 100- or 50-twelve-hour moving average. These crucial areas of resistance sit at $1.45 and $1.60, respectively.

If Polygon manages to break through the 50-twelve-hour moving average, the symmetrical triangle suggests that a new uptrend may start. Under such unique circumstances, MATIC price could surge by nearly 50% to the setup trendline at $2.38.

Nonetheless, investors must pay close attention to the $1.28 support level. Failing to hold above this key area of support might lead to significant losses. MATIC price could fall to the $1.16 support level or even the 200-twelve-hour moving average at $0.93.

Share: Cryptos feed

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.