Polygon (MATIC) Price on the Rise: Investors Fuel Swift Comeback

Analysis1mos agoUpdate 6086cf...
24 0

In Brief

  • MATIC price is making its way back after bouncing off the support at $0.65 to reach $0.81.
  • Investors are putting aside profit-taking and focusing on making their supply profitable instead.
  • The funding rate is recovering as well, suggesting traders are making bullish bets against MATIC.

Polygon (MATIC) is among the few altcoins observing quick recovery supported by its investors.

The altcoin could soon be on the path to reclaiming the profits lost during the early April correction.

Polygon Investors Are Optimistic

MATIC price is climbing on the daily chart, and Polygon investors note the potential for this recovery. They are acting accordingly, with the network noting minimal selling in the last few days.

This sentiment is being extended at the time of writing as well. Upon categorizing active addresses by profitability, it can be noted that investors in profit only represent 6% of the total. This means that those noting gains are not opting to sell, making HODLing the dominant sentiment.

Polygon (MATIC) Price on the Rise: Investors Fuel Swift Comeback
MATIC Active Addresses by Profitability. Source: IntoTheBlock

This is crucial in supporting recovery since selling would only hamper the potential rise in price.

Read More: How To Buy Polygon (MATIC) and Everything You Need To Know

Further bolstering recovery are traders in the Futures market. These investors are making bullish bets against MATIC prices, which exhibit optimism and confidence. This is evident from the funding rate, which has been negative for the past few days.

The funding rate represents the fee between long and short-future contract holders to maintain price equilibrium. Usually, the negative rate represents the dominance of short contracts, while the positive rate shows long contracts taking precedence.

Polygon (MATIC) Price on the Rise: Investors Fuel Swift Comeback
MATIC Funding Rate. Source: Coinglass

Given that the MATIC funding rate is recovering from negative to increasingly positive, it is a sign that the altcoin could witness growth soon.

MATIC Price Prediction: This Bounce Is Necessary

At $0.72 at the time of writing, MATIC’s price is just above the crucial support of $0.72. This level has been successfully tested as support multiple times in the past and has generally been followed by a rise.

Thus, once this level is cemented as support, MATIC’s price might attempt to rise to $0.81. Breaching it could recover nearly half the losses witnessed at the beginning of this month.

Polygon (MATIC) Price on the Rise: Investors Fuel Swift Comeback
MATIC/USDT 1-day chart. Source: TradingView

Read More: Polygon (MATIC) Price Prediction 2024/2025/2030

However, if $0.72 is lost as support, MATIC’s price could trickle down to $0.65, which could invalidate the bullish thesis, resulting in a potential drawdown to $0.60 or lower.

Top crypto platforms | April 2024

This article is sourced from the internet: Polygon (MATIC) Price on the Rise: Investors Fuel Swift Comeback

Related: Ethereum (ETH) Price Push to All-Time High Stalls – Will Support Hold?

In Brief Ethereum price is due for a correction that will likely drag the altcoin down by 14%. A market top has been formed for the first time since November 2021, as bullishness is saturating. Technical indicators are making a bearish turn as well, suggesting a drawdown is inevitable. Ethereum price in the past month has generated billions of dollars in profits for its investors, following a 56% rally. However, this will most likely be paused as the bull market has reached its saturation point, and ETH will begin a decline while the market cools down. Ethereum Market Top Confirmed Ethereum price could be seen trading at $3,921 at the time of writing. The second biggest cryptocurrency in the world has grown by 56% in the past month, rising from…

 

© Copyright Notice

Related articles

No comments

You must be logged in to leave a comment!
Login immediately
No comments...