- MATIC’s liquidation could increase substantially near $1.08.
- A few market indicators looked bearish on the token.
As the crypto market turned bullish, most cryptos registered price upticks. However, the daily chart of Polygon [MATIC] turned red at a time when MATIC was about to break above a bullish pattern.
Polygon is behaving differently
According to CoinMarketCap, at the time of writing, MATIC was trading at $1.05 with a market capitalization of over $10 billion. The sluggish price action also affected market sentiment.
AMBCrypto had earlier reported that the token’s Weighted Sentient had dropped, signifying that bearish sentiment was dominant in the market.
However, there was good news, as the token’s price was moving in a bullish pattern at press time.
According to Captain Faibik’s recent tweet, MATIC’s price was about to break out from a bullish triangle pattern, which could allow it to touch the $2 mark in the coming weeks.
Source: X
Will MATIC hit $2?
If a utopian situation, MATIC may likely face resistance in a few zones before touching the $2 mark.
AMBCrypto’s analysis of Hyblock Capital’s data revealed that MATIC’s liquidation will increase substantially when its value touches $1.08.
High liquidation during an uptrend is often followed by price corrections. Therefore, to reach $2, MATIC must overcome that barrier.
Source: Hyblock Capital
Therefore, to better understand whether the altcoin would manage to start a bull rally, AMBCrypto took a look at its daily chart.
Our analysis pointed out that Polygon’s price was in a high volatility zone, as evident from the Bollinger Bands. Its MACD also displayed buyers’ advantages in the market.
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Another bullish indicator was MATIC’s Chaikin Money Flow (CMF), which registered an uptick, indicating that the chances of a price uptrend were high at press time.
However, the Relative Strength Index (RSI) went southwards, suggesting that investors might have to wait longer to witness MATIC touching $2.
Source: TradingView