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- The $1.05 has posed stern resistance prior to now two weeks.
- A revisit to the 12-hour bullish breaker and Fibonacci retracement degree may very well be anticipated.
Polygon [MATIC] noticed bullish sentiment rise in current weeks. On-chain metrics confirmed a big uptick within the variety of new customers, and the worth motion of the native asset additionally highlighted sturdy demand behind the rally.
Learn Polygon’s [MATIC] Value Prediction 2023-24
Whereas the upper timeframe bias remained bullish, MATIC shaped a decrease timeframe vary. On the time of writing, it approached the highs of this vary, making one other rejection probably.
The ten-day vary has been revered to this point, merchants can look to enter quick positions
A spread between $0.92 and $1.03 was highlighted in orange. MATIC has traded inside this vary for the previous 10 days. The decrease excessive of the vary coincided with a bullish breaker (cyan) from early December on the 12-hour chart.
The higher boundary has seen many candlewicks as excessive as $1.05, however no four-hour session closed above it prior to now two weeks. Though a breakout was nonetheless doable, it was higher to commerce inside the vary than to hunt a breakout.
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The RSI has shaped decrease highs prior to now week, as has the OBV. This indicated muted shopping for power. Till the liquidity pocket at $1.03-$1.05 is damaged by a session shut above $1.05, merchants can look to quick MATIC in that space. The revenue targets are the mid-range mark at $0.98 and the vary low at $0.92.
Futures market individuals stay bullish
On 19 January, the worth revisited the vary lows and the 12-hour bullish breaker at $0.92. The very subsequent day, MATIC bounced to the vary excessive and brought about quite a few quick positions to be liquidated. Coinalyze’s information confirmed that $1.11 million value of quick positions liquidated inside a four-hour session on January 20.
The inference was that the transfer south to $0.92 invited a variety of bearish consideration. The violent surge upward that adopted wiped them out. This additionally strengthened the power of the vary extremes. A retest of the $0.92-$0.93 ranges may thus be used to purchase MATIC.