MATIC will enter pricing mode on a $ 2.79 interruption
A prominent analyst is aiming higher for the multi-chain scaling solution Polygon (MATIC) while the leading cryptocurrency Bitcoin is stagnating.
In a new strategy meeting, Benjamin Cowen said Polygon’s daily levels since July have shown a clear uptrend and could trigger pricing mode even if the leading Ethereum scaling solution hits a new ATH.
“One could argue that we are in a general upward trend and we are about to enter pricing mode … It is interesting because it is not necessary that all types of strongholds be the same at all different price levels.
The analyst goes on to explain how investors react when the assets they own rise or fall.
“You can imagine that some people who bought Bitcoin for $ 60,000 or $ 65,000 or $ 69,000, if that’s their cost base, just want to get out.
There they set the selling price and when one day they hit the target level they are ready to go. They are not interested in making more profits, they just want to reduce their losses and move on to a lower price or breakeven point.
In the meantime, every price an investor has bought tokens at throughout history has been profitable after switching to pricing mode … If you buy Spot watch the price go up, everyone else does.
So you don’t see exactly the same type of ramparts. Now finally take all profits with you and the platform has new owners. These people are still waiting for the right opportunity. ”
Next, Cowen sets out the exact level he believes MATIC must reach in order to get into pricing mode.
“Expects $ 2.79. This level puts MATIC into pricing mode. No lower level can do this. I see some say MATIC is in pricing mode at $ 2.53 … but you have to keep in mind that MATIC was actually a little higher than that level in May before the big crash. …
It’s great to see it hit a new all-time high, but I think what’s more interesting is that it is doing so while Bitcoin is operating on a downtrend. This is something very special for me. ”
Source: Benjamin Cowen
The chartist concludes by highlighting an important contrast between Bitcoin’s recent highs and MATIC’s lows.
“MATIC is on the up, despite everything Bitcoin has been through in the last 5 weeks.
MATIC goes further up. Instead of making a lower high like Bitcoin, it makes a higher low.
For example, if Bitcoin returns to USD 47,000, MATIC will not fall on the trendline but could slide towards USD 2.
I’m not saying it will cost $ 2, but … the price was $ 1.80 a week ago. So don’t pretend it can’t happen. If you look at the end of the day, you can see that it looks much better. ”
At the time of writing, MATIC is the 14th largest coin by market cap, almost 5% less than it did for the week, and is currently trading at $ 2.62. That altcoin needs to gain about 5% more to hit Cowen’s target of $ 2.79.
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