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– The near-term market structure was strongly bullish after the move above $1.15.
– The rally may encounter resistance very soon.
Polygon [MATIC] fell to the weekly low of $1.08 on April 12, but quickly recovered. The token gained 10% over the past two days, breaking a near-term resistance level that bulls have been bumping into since March 21.
Read Polygons [MATIC] Price Forecast 2023-24
An April 12 report highlighted some of the on-chain metrics that pointed to the possibility of a rally for MATIC. However, the flow of tokens to exchanges also highlighted the possibility that sellers could fight back. The price charts showed where this selling pressure could arise.
MATIC climbed to the H4 bearish order block
In April there were two zones of interest to MATIC. The bearish order block on the four-hour time frame in the $1.23 region, highlighted by the red box, was the block closest to the price. The RSI entered overbought territory to underline the strong bullish momentum behind the token.
The OBV has been on an upward trend since March 10, indicating steady demand and showing that a break past $1.25 was likely in the coming weeks. Bitcoin’s rally past $30,000 meant that capital could soon be turned into alts as well, fueling a breakout.
However, until a clear break occurs, MATIC holders from lower on the charts can look to book gains near the bearish order block. The other area of interest for buyers was the local low of $1.04 where a bullish order block was seen.
Traders can also be prepared for the possibility of range formation between these levels.
How much are 1,10,100 MATICs worth today?
MATIC liquidation data showed bears took a beating during the rally
Coinalyze’s one-hour chart showed that sentiment was strongly bullish. The price was in a strong short-term uptrend and Open Interest rose from $155 million to $180 million. This huge increase pointed to the likelihood that speculators jumped into the market in an attempt to profit from the rally.
Coinglass’ liquidation data showed that $1.57 million worth of short positions were liquidated as of April 14, of which $2.08 million was liquidated in the 24 hours prior to the time of writing.
This post MATIC climbs above $1.15 but could brake soon
was published first on https://ambcrypto.com/matic-climbs-above-1-15-but-could-the-brakes-could-be-applied-soon/