(Filip L. – FXStreet)
– Polygon price opens near a significant level that bulls will want to test.
– MATIC price is at a crossroads with possible 108% gains prospected.
– Watch this key level to time the correct entry for the uptrend.
Polygon (MATIC) price is knocking on the door of the $1 handle and could be set to break the ties with the crypto winter. MATIC’s price looks very bullish, and a short squeeze could lift bulls above $1 this week and set them up for a very big uptrend that could double the price of MATIC above $2. That means that MATIC is on the cusp of making over 100% of gains in the coming months.
MATIC is right on time to start an uptrend
Polygon price opens this week near a key level as the rally on Sunday brought MATIC bulls just inches away from that $1 handle which is key and crucial for the next coming trading weeks. Specifically, the $1.1 is the key that holds everything as once bulls can start trading at that level, not only has a key pivotal level been broken to the upside, but the 200-day Simple Moving Average (SMA) will be broken as well. That last level can indicate that the crypto winter is over, and bulls can restart their rallies with an overall longer-term uptrend.
MATIC price first will need to break above the 200-day SMA and avoid a rejection against the monthly R1 Resistance level at $1.14. Should bulls be able to avoid that and preferably close this week above that $1.14, an uptrend is set to go forth as the biggest bearish event, the Fed rate decision in September is still over 30 days away. If bulls play their cards right and keep this rally at a gentle pace, expect a possible 108% return.
As there are three cap elements so nearby, a firm rejection could be in the making and trigger the next cycle in the crypto winter. As there are three to four bearish levels in just a range of a few cents, a rejection could see a drop towards $0.80 with the 55-day SMA just below. The overall risk is 55% losses should bears be able to regain control and push price action back to $0.44.