- MATIC Prize has started shaping the handle of the mug stand with a handle.
- The extreme overbought polygon on the daily relative strength index (RSI) was eliminated by the May collapse.
- MATIC fell less than 17% from its historical value after rising 230% from its May 23 low.
MATIC’s price remains at the forefront of the cryptocurrency market despite a 75% crash this month. The rare 230% bounce off the May 23 low and the emerging bottom of the knob cup position the Polygon with relative strength to print new highs in the coming days or weeks. Only accelerating cryptocurrency sales will undermine the bullish result.
MATIC Prize Supports Growing Hype around the Landfill
Until May 19, the MATIC price contributed to the growth of the cryptocurrency complex after a decisive breakout after multi-week consolidation that formed in March and April. The breakout of the polygon was accompanied by a noticeable increase in volume and created overbought conditions for the daily and weekly RSI.
From May 19 to May 23, the MATIC price fell 75% before reaching support from the 50-day simple moving average (SMA) at $ 0.791 and just above the 61.8% April rally to May at $ 0.693, and 2021 uptrend line at $ 0.645.
The MATIC price coincided with a significant correction with a massive 230% bounce, laying the groundwork for the bottom of the handle. The right side of the Polygon base is characterized by double-digit days on a solid volume, and a capture component forms in the upper half of the base when the volume is below average. A seizure may take additional time due to price contraction caused by a sharp drop and a quick bounce.
Once the handle is complete, the Polygon is ready to exit the base of the mug handle with a measured move target of $ 8,290 from the top of the handle at $ 2,482, giving investors a 230% return.
On the way to measured target movement, there is a 138.2% expansion from the May correction to $ 4.984, followed by a 161.8% expansion to $ 6.90.
Daily chart MATIC / USD
Unfortunately for avid investors in Polygon, the price of MATIC may be sucked into a new wave of pressure from sellers in the cryptocurrency market. Support levels include a 50% retracement from the May 23 low of $ 1.358, a 61.8% retracement of $ 1.178 and the May 19 low of $ 1.011.
In the long term, the MATIC award will be supported by the growing recognition of Polygon as a blockchain network with integrated project scaling solutions, as well as the recent announcement of Google BigQuery and a highly discussed investment by Mark Cuban. This makes them a difficult target for bearish investors.