warning: The results of the following analysis are the author’s opinions only and should not be considered investment advice.
- MATIC Sees Rise After Major Resistance After Announcement
- Price action needs further development but a buying opportunity may emerge
The original Polygon symbol has recorded rapid gains on the price charts over the past few days. This upward move came as Robinhood announced a partnership with Polygon as it appeared that the trading app would move into the Web3 space. MATIC managed to break above the resistance at $0.78, but will a retest of the same offer offer another buying opportunity?
This is the AMBCrypto price forecast for MATIC for 2023-24
MATIC clears pocket of liquidity, more profits loom
In yellow the range was defined for MATIC. It ranged from $0.72 to $1.03, with the midpoint at $0.877. The price has been trading in this area since mid-July, which adds to the significance of the range.
The RSI is back above the neutral 50 level after spending much of September below the range. This indicates that the bearish momentum has turned to the upside. However, this may not indicate that a move to $35 or more was on the cards.
At press time, the $0.788 area is a pocket of liquidity where a bullish order block could form over the next few days. Then, a return visit to this area may provide a buying opportunity.
MATIC may rise to $0.88 and $0.95 after the retest, which can be used as profit-taking levels.
A shortage of inflows was discovered last week
The flow chart showed that inflows decreased during September compared to August. In July, the volume of MATIC transferred to the exchange was much larger, but the price increased from $0.5 to $1 during that month.
Overall, the fact that inflows were rather weak in September raised a bullish question. Can whales pile matic? Even if the answer is yes, it may not prevent the asset from sliding below the lows of the range in the event that Bitcoin drops beyond $18.5K.
Patience will be key for MATIC’s long-term traders and investors. $0.788 is a key level and may represent a buying opportunity in the next week or two. This will require Bitcoin to stay near the $20K mark or even rally past the $20.8K resistance.