Key Takeaways:
- MATIC price started a fresh increase from the $0.820 support zone.
- A major bullish trend line is forming with support near $0.865 on the 4-hours chart.
- The price could start a fresh rally if it clears the $0.965 and $1.00 resistance levels.
New Delhi(CoinChapter): Polygon’s MATIC is showing positive signs above $0.85. The price might gain bullish momentum once it settles above the $1.0 resistance.
Polygon’s MATIC Price Eyes Fresh Rally
After forming a base above $0.765, MATIC price started a steady increase against the US Dollar. The price remained well bid and was able to settle above the $0.82 pivot zone.
The upward move was such that the price broke the 23.6% Fib retracement level of the downward move from the $1.158 swing high to $0.764 swing low. The bulls even pushed the price in a positive zone above the 50 simple moving average (4-hours, blue).
MATIC 4-hours price chart | Source: MATICUSD on TradingView.com
However, the price is now facing a strong resistance near the $0.95 zone, similar to bitcoin near $17,500. The bulls already made a couple of attempts to clear $0.95, but they failed.
The 50% Fib retracement level of the downward move from the $1.158 swing high to $0.764 swing low is also near the $0.965 level to act as a strong barrier for more gains. The main breakout zone could be near the $1.00 zone.
A close above the $1.0 resistance might start a strong rally. In the stated case, the price may perhaps rise towards the $1.15 level. Any more gains might open the doors for a move towards the $1.25 resistance.
Will The Bulls Fail To Clear The Hurdle?
If there is no upside break above $0.965 or $1.0, the price might correct lower. An immediate support is near the $0.892 and the 50 simple moving average (4-hours, blue).
The next major support is near $0.865. There is also a major bullish trend line forming with support near $0.865 on the 4-hours chart. A close below $0.865 may perhaps start a steady decline. In the stated case, the price might drop towards the $0.800 support, below which there is a risk of a move to $0.765.
Overall, MATIC price is facing a major hurdle near the $0.965 and $1.00 levels. If there is a close above $1.0, the price could rise towards the $1.25 resistance. If not, there could be a drop towards $0.80 in the near term. The main breakdown support sits at $0.765.
