Disclaimer: The information presented does not constitute financial, investment, trading or any other advice and is solely the opinion of the author
MATIC was bullish on the 12-hour chart.
Holders saw gains, and additional gains could be likely if a major support level is secured.
Polygon [MATIC] offered investors more profit over the weekend. It broke above its 12-day price consolidation range on Thursday, Jan. 26, offering a 15% gain.
Read Polygon [MATIC] Price prediction 2023-24
But the rally slowed after hitting the $1.1900 overhead resistance. At the time of writing, the value of MATIC was $1.1555.
The $1.1252 support level: Can it hold?
Source: MATIC/USDT on TradingView
MATIC’s January rally was delayed to two weeks by a price comfort range of $0.9283 – $1.033. But the break above the range caused MATIC to reach the bullish target of $1.1252.
The above target was converted into an immediate support level. If the $1.1252 support level holds steady for the next few days, MATIC could target the November high of $1.300 – a potential 15% rally.
Is your wallet green? look at the MATIC profit calculator
The Relative Strength Index (RSI) on the 12-hour chart was at 66, indicating a bullish MATIC. Therefore, the above bullish bias could be likely in the coming days.
But a drop below the $1.1252 support would invalidate the bias. Nevertheless, bulls could find another stable level at $1.0733 in such a downtrend case.
MATIC recorded whale counting transactions and holders enjoyed huge profits
Source: Sentiment
According to Santiment data, there were a handful of whale transactions worth more than $100,000 at the time of writing. The historical pattern showed that some whale movements were accompanied by price increases. As such, we could expect another price rally.
In addition, long-term holders saw gains, especially after Thursday’s bullish break from the price consolidation range. The position above is based on the rising 90-MVRV (Market Value to Realized Value).
Particularly during the price consolidation period, MVRV remained on the neutral line and even dropped to the negative side, showing that holders saw losses during the period. An additional rally could give holders more profit.
However, the divergence between price and open interest at the time of writing, as indicated by Coinglass, could slow strong momentum in the near term. It shows that despite rising prices, money has disappeared from the MATIC futures market.
Source: Coinglass
This post Polygon [MATIC]: A potential 15% rally is likely if this support is secured
was published first on https://ambcrypto.com/polygon-matic-a-15-potential-rally-is-likely-if-this-support-is-secured/
