Polygon confirms 15% ascent due to recent breakthrough

  • MATIC price broke out of its descending triangle consolidation, hinting at a bull rally.
  • This technical formation forecasts a 15% upswing to $1.277, but Polygon might overshoot.
  • A decisive close below $1.01 will invalidate the bullish thesis.

MATIC price broke out of its one-week consolidation on September 30, indicating the start of a new uptrend. This up-trending path that Polygon bulls will take has multiple resistance levels, which need to be breached to reach its destination.

MATIC price confirms quick run-up

MATIC price rose 22% from September 21 to September 23, setting up the first swing high and low. After this point, Polygon formed three lower highs and lower lows, which result in the formation of a descending triangle.

This technical formation forecasts a 15% uptrend, obtained by measuring the distance from the September 23 swing high to September 21 swing low. Adding this measure to the breakout point at $1.10 shows the target at $1.277.

MATIC price has currently risen 3.2% and shows signs of continuing this run-up. However, Polygon bulls will face the $1.221 resistance level on their way to the intended target. Clearing this barrier will open the path for $1.277. 

In some cases, the buying pressure might propel MATIC price to $1.314, constituting a 16% ascent from its current position.

MATIC/USDT 4-hour chart

On the contrary, if MATIC price fails to sustain its 3.2% ascent seen so far, it will indicate an increased selling pressure and weak buyers. Such a development might push Polygon back to retest the base of the descending triangle at $1.047.

A decisive close below this barrier will produce a lower low, invalidating the bullish thesis. In such a scenario, MATIC price might crash to $1.01 or $0.997.

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