MATIC

Based on Bitcoin’s strong bullish performance, the overall crypto market is also very positive. However, the falling returns on some of the top altcoins like ADA, SOL, AVAX, and MATIC have left them feeling insecure.

 4-hour chart | Source: Tradingview

On the other hand, there are small signs in the price structure and status of on-chain indicators that make their progression, especially for MATIC, optimistic.

Price is stuck in a closed channel

MATIC rebounded 10% on October 8 to a 3-week high of $ 1.42 after hitting lower lows for most of September. In reality, however, the increased adoption of this cross-chain scaling solution is definitely a boon for Ethereum.

Because Polygon is a Layer 2 solution that runs on the Ethereum network for faster transaction processing and makes it easier for Ethereum-based applications to work with many other blockchain platforms.

Polygon recently released Swap for Gas on the same day its price hit a new 3-week high. Swap for Gas is a user-friendly solution for MATIC procurement in the Polygon Mainnet, which also facilitates the provision of bridges. However, these developments could not pull MATIC out of the sector-specific momentum or raise the price above the $ 1.5 mark.

Are you working on a bullish structure?

However, the positive side of MATIC’s limited move is that it has created a bullish structure. With the bullish 14-day RSI above 50 and pointing up, the altcoin could continue to rally if it breaks the major resistance level of $ 1.5.

In addition, the price seems to form a huge triangle. Breaking the trendline and pinning above it can trigger a sharp move towards the bottom of the triangle, the USD 3.7-4 zone.

The source: CryptoDream

It is therefore worth noting that as the symmetrical triangle narrows on the MATIC price chart, the breakout chance also seems to be getting closer.

Growth network drives the market permanent contract

According to DefiLama, the Value Locked (TVL) on Polygon at press time is $ 8.43 billion and could be as high as $ 9 billion by the end of October. That MATIC network growth is due to the NFT’s boom. attributed and the gaming industry.

Other factors such as Swiss postal messages using the polygon blockchain have also pushed prices up amid consolidation.

Notably, the percentage of MATIC’s total stablecoin supply held by whales has also increased to over $ 5 million (red line in the graph below). If the index is close to ATH and the price is not rising sharply, it indicates a build-up of whales. This is a good development for the price of MATIC in the near future.

The source: Sanbase

In addition, MATIC’s Open Interest (OI) appears to be growing steadily in the perpetual market. In fact, at press time, open interest was up 7.15% in one day.

Open contract | The source: Coinlyze

On the other hand, the number of active addresses and the daily active addresses indicate a lack of market participation, while the trend of low trading volumes also makes the spot market skeptical. However, with the network showing growth and certain metrics, a strong push from the bulls MATIC could lead to a new ATH.

Join Bitcoin Magazine Telegram to keep track of news and comment on this article: https://t.me/coincunews

At home at home

According to AMBCrypto

Follow the Youtube Channel | Subscribe to telegram channel | Follow the Facebook page

Annie

Championing positive change through finance, I've dedicated over eight years to sustainability and environmental journalism. My passion lies in uncovering companies that make a real difference in the world and guiding investors towards them. My expertise lies in navigating the world of sustainable investing, analyzing ESG (Environmental, Social, and Governance) criteria, and exploring the exciting field of impact investing. "Invest in a better future," I often say. That's the driving force behind my work at Coincu – to empower readers with knowledge and insights to make investment decisions that create a positive impact.

Recent Posts

Trust Wallet CEO Backs Web3, Plus Wallet’s Top-Tier Encryption Ensures Secure Asset Access Amid Crypto Liquidation Hits $277M

Read how Plus Wallet’s top-tier ensures secure, unified digital asset management. Get the latest updates…

3 hours ago

Former Alameda CEO Will Now Serve 2-Year Sentence

Former Alameda CEO Caroline Ellison reported to a Connecticut federal prison on November 7 after…

3 hours ago

Degen Rollup Key Issue Forces Possible Chain Restart

Degen Rollup Key Issue: Conduit seized Degen’s L3 private key, causing 54 hours of downtime…

3 hours ago

Best Cryptos to Join Now: Experts Reveal Top Picks for Explosive Gains

As a wave of exciting developments continues to unfold in the crypto market, lots of…

3 hours ago

Binance Proof of Reserves Shows $120B in Assets Across 34 Tokens

Binance Proof of Reserves reveals $120 billion in assets across 34 tokens, showing growth in…

4 hours ago

This website uses cookies.