Join us as we delve into the world of Polygon (MATIC), a popular blockchain platform known for its scalability and Ethereum compatibility. Today, we’ll analyze its price charts across different timeframes to uncover potential trading opportunities.
One-Hour Chart: A Potential Pullback Before the Rise
On the one-hour chart, we observe a potential completion of the fifth wave on November 14th, suggesting a pullback to 77.6. This divergence from the smart money concept implies further downside before an upside breakout.
To gauge the extent of this potential pullback, we measure a 100% move to the downside, indicating a possible retracement to 83.97-89.5 before another move down. This retracement zone could provide an attractive entry point for long positions.
One-Day Chart: A Correction Ahead of the Next Upswing
Shifting to the one-day timeframe, we notice bullish signals such as the 50 EMA crossing above the 200 EMA and a reset stochastic. However, these indicators suggest a correction before the next push to the upside.
The overbought stochastic on the four-hour chart further reinforces the anticipation of a correction. This correction could present an opportunity to accumulate MATIC at a discounted price.
Weekly Chart: Bullish Signs Amid Declining Momentum
The weekly chart paints a bullish picture, with the price action forming a cup-and-handle pattern. However, a decline in momentum suggests a sizable pullback when volatility increases.
This potential pullback could lead to lower prices for Polygon Matic in the bear market, with a push to the downside and a possibility of revisiting lows below $1.5681 on Binance.
Confirmation of Bullish Trend: Crossing Above $1.5681
To confirm that MATIC has avoided lower lows and is poised for a continued upward move, it needs to break above $1.5681. This level serves as a crucial resistance level to watch.
Safe Trading Practices and a Positive Outlook
As we navigate the dynamic cryptocurrency landscape, it is essential to employ safe trading practices, including setting tight stop losses to mitigate potential losses.
Despite the anticipated correction, the overall outlook for Polygon (MATIC) remains positive. Its strong fundamentals and growing adoption position it well for long-term growth.
We thank you for joining us on this exploration of Polygon (MATIC) and wish you a great day filled with successful trading!