MATIC Gains 10% In One Day, Is A Price Rally Coming?

July 11, 2023

MATIC, the native token of the Polygon network, has witnessed a significant price gain in the last day, drawing much attention from investors. According to data by CoinMarketCap, MATIC gained by 10.44% over the last 24 hours, representing a better market performance than most top assets, including Bitcoin (BTC), Ethereum (ETH), Solana (SOL), etc.

MATIC’s Price Overview In July

Since the beginning of the month, the MATIC market has experienced a series of gains and losses, which, so far, have been in line with the general crypto market.

MATIC began the month trading around $0.66 before witnessing a steady price rise to hit the $0.71 resistance zone on July 4. However, after failing to break past this barrier, the ERC-20 token saw its price fall by 7%, returning to the $0.66 price mark the following day.

On July 6, MATIC attempted another bullish run but was followed by a sharp price decline. But since then, the token has seen a steady price increase since then, leading up to its recent price boost.

In the early hours of today, MATIC‘s price shot up by 10%, breaking past the $0.71 resistance level to attain a peak price of $0.74, and has since remained in that zone. This price increase moves MATIC’s total gain in July to 12.12% as of this writing.

In addition, blockchain analytics firm Santiment also reported the Polygon utility token to have recently witnessed “some positive on-chain signs.” These included an increase in new daily addresses, declining exchange supply, and low-profit taking.

According to data by CoinMarketCap, MATIC is currently exchanging hands at $0.74, with a 0.86% gain in the last hour. The token’s trading volume is up by 93.17% and is now sitting at $543.19 million. With a market cap of $6.9 billion, MATIC ranks as the 12th-largest cryptocurrency.

Is A Bullish Run On For MATIC?

Following MATIC’s price hike today, there is likely much speculation on the token’s next movement. Looking at its 4-hour chart, the Relative Strength Index (RSI) has just dipped below the overbought zone indicating a bearish trend on the horizon. However, its Moving Average Convergence Divergence (MACD) is well-placed above the signal line, so the bullish run may still be on.

According to MATIC’s price movement, the token appears to be in an ascending channel recording higher highs and lows in the last month. If MATIC manages to break out of its current consolidation zone, it is expected to only trade as high as $0.77, which represents its next resistance level.

On the other hand, if the bears do assume control of the market, they could push the price of MATIC as low as $0.69, which marks the token’s next support level.

In other news, the general crypto market has witnessed an upturn from its form yesterday, with the total crypto market cap having increased by 1.4% in the last 24 hours.