Polygon’s MATIC Price Surge
Polygon’s native token, MATIC, has experienced a remarkable surge in value, climbing by over 50% in the past month. This surge coincides with the overall positive sentiment in the cryptocurrency market. However, there is a possibility of a bearish trend if the momentum were to diminish.
Momentum Builds for Polygon
The rise in Bitcoin has had a favorable impact on many altcoins, and MATIC is no exception. The Polygon network has been demonstrating strong upward momentum, maintaining a positive trend without showing signs of decline. Additionally, the number of active addresses on the network, indicating transactional activity, has increased by 88%, suggesting heightened market engagement.
Investor interest in acquiring MATIC is growing, as evidenced by a significant decrease in the token’s availability across exchanges. A notable collective purchase of approximately 59 million MATIC, valued at $70.2 million, indicates the potential for further price appreciation, provided MATIC can overcome the resistance level at $1.18.
Projections and Challenges for MATIC
A recent minor correction in MATIC’s price suggests a temporary pause in its upward trajectory. The token encountered resistance at $1.18, a level it breached initially but later retraced from. Transforming this resistance into a support level could lead to further price increases, possibly reaching a high of $1.30.
However, the absence of a similar price surge in the previous year around April raises concerns about a potential downturn from the $1.18 mark. MATIC may face a 10% price correction to $1.05, and if support levels fail, the bullish outlook may diminish, potentially causing MATIC to drop below the $1 threshold.
