How To Trade This Bullish Pattern Emerged In Polygon Coin Chart

Brian Bollinger
Updated
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Polygon MATIC

Following a direction rally from June to August, the Polygon Coin price reverted from the $1-$1.02 barrier. Since then, the altcoin has been in a downward spiral forming new lower highs and lower lows. Connecting this swing, the daily technical chart showcased the formation of a flag pattern.

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Key points 

  • The MATIC/USDT will extend its downfall until the prices remain under the downsloping trendline.
  • The multiple barriers at $0.75 validate it as a strong supply zone.
  • The intraday trading volume in the MATIC is $748.3 Million, indicating a 24.5% gain.

Polygon Coin ChartSource- –Tradingview

A flag pattern is a bullish continuation pattern that offers a long entry opportunity for a minor correction. Under the patterns influence, the Polycoin coin price retracement 50% of the previous rally and plunged to a low of $0.69.

On September 22nd, the polygon coin price rebounded from the support trendline and triggered a new bull cycle within this falling wedge. The altcoin shows 10.5% growth within a fortnight and has repeatedly retested the $0.75 resistance. 

The higher price rejection candle at his resistance indicates the sellers vigorously defend this level. However, if the buyers managed to breach this resistance, the coin price would rise 6 to 8% to hit the downsloping trendline.

Until the altcoin is below this trendline, the Polygon coin price will remain trapped in a correction phase and could witness more losses.

However, per the technical setup, the bullish pattern should eventually encourage buyers to break the resistance trendline. Doing so will replenish the bullish momentum and drive the prices to $0.875, followed by $1.

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Technical Indicators

Bollinger band indicator: the coin price trading below the neutral line indicates the sellers are currently controlling the price. Moreover, this midline at $0.75 is an added barrier against buyers. 

MACD indicator: a bullish crossover between the fast and slow line gives an additional confirmation for a $0.75 breakout. 

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Polygon Coin Price Intraday Levels

  • Spot rate: $0.78
  • Trend: Bullish
  • Volatility: Medium
  • Resistance levels- $0.75 and $0.875
  • Support levels- $0.726 and $0.7
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Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.

Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

About Author
About Author
From the past 5 years I am working in Journalism. I follow the Blockchain & Cryptocurrency from last 3 years. I have written on a variety of different topics including fashion, beauty, entertainment, and finance. Reach out to me at brian (at) coingape.com
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.