{"id":566551,"date":"2023-12-22T16:30:42","date_gmt":"2023-12-22T16:30:42","guid":{"rendered":"https:\/\/ktsl888.com\/?p=566551"},"modified":"2023-12-22T12:46:16","modified_gmt":"2023-12-22T12:46:16","slug":"analyst-explains-polygon-touch-new-highs","status":"publish","type":"post","link":"https:\/\/ktsl888.com\/news\/matic\/analyst-explains-polygon-touch-new-highs\/","title":{"rendered":"Polygon Breaks Through $0.85, Is A Move To New Highs Next?"},"content":{"rendered":"
Polygon has seen some sharp uptrend during the past day and has now broken above $0.85. Here’s why this break could pave the way for a further rally.<\/p>\n
After topping above the $0.94 mark earlier in the month, MATIC had gone on to register some significant drawdowns. In the last few days, though, the asset appears to have hit a bottom<\/a> around the $0.75 level, as it hasn’t gone below the mark yet.<\/p>\n Something that could add further evidence for this is the fact that bullish momentum has returned for Polygon in the past day, as its price has shot up over 6%.<\/p>\n The below chart shows how the cryptocurrency has performed during the past month:<\/p>\n <\/p>\n With this sharp surge, the cryptocurrency has recovered back above the $0.85 mark. This break could turn out to be significant for Polygon if on-chain data is anything to refer to.<\/p>\n In a post<\/a> on X, analyst Ali discussed about how Polygon was about to face a major test of on-chain resistance<\/a>. When the analyst had made the post, the coin was still trading around the $0.78 mark.<\/p>\n Here is a chart that shows how the on-chain support and resistance levels looked like at the time of the post:<\/p>\n <\/p>\n In on-chain analysis, the potential of any price range to act as support or resistance depends on the number of coins that the investors purchased inside the particular range.<\/p>\n This is because of the fact that holders are more likely to react whenever the price retests their cost basis<\/a> or acquisition price, as such a retest can flip their profit-loss condition. The more addresses that have their cost basis inside a particular range, the stronger the market reaction when the price retests said range.<\/p>\n From the chart, it’s visible that Polygon’s price had been trading just under the $0.79 to $0.84 range at the time Ali had made the post. This range carried the cost basis of around 38,570 addresses, which bought 4.24 billion MATIC at it.<\/p>\n Generally, whenever the investors are in a loss (as these holders would have been when MATIC was trading under the range), there is a chance that they sell when the price retests their cost basis since they might get desperate to exit the market and break-even would sound like a good opportunity to do so.<\/p>\nLooks like MATIC has sharply risen in the past day | Source: MATICUSD on TradingView<\/a><\/pre>\n
MATIC Has Broken Past A Major Resistance Zone With The Latest Surge<\/h2>\n
The different MATIC price ranges based on the density of cost basis | Source: @ali_charts on X<\/a><\/pre>\n