MATIC, the native token of the Polygon network, has had perhaps one of the most disappointing runs of the top cryptocurrencies in the last year. While most of the market rallied to new yearly highs, the MATIC price continued to struggle, leaving investors in massive losses. However, there may be light at the end of the tunnel for investors, as one crypto analyst has predicted a bullish breakout for Polygon.
Polygon Will Rally Once Again In an analysis that was posted on the TradingView website, a crypto analyst who goes by the name Bixley painted a bullish picture for the Polygon price. Bixley explained that the MATIC price is currently on the trend line, which is just above the $0.7 where the altcoin is currently trading at.
Now, the thing about trend lines is that they need to be broken for the breakout to be actualized. In the cases where they fail to break, it could end up being very bearish for the coin’s price. However, in the case of Polygon, the analyst is optimistic that this trend line will be broken, which will lead to this breakout.
The crypto analyst also compared the Polygon price performance to that of Ethereum back in its early days. If this is the case, then the MATIC price could be in for a large move upward from here, especially if it succeeds in breaking the trend line.
Source: Tradingview.com For the targets once this breakout happens, Bixley reveals multiple levels where they expect the price to rise to. The first outlined in the chart is the $1.2 level which would constitute a 70% increase from the current price level.
Additionally, the crypto analyst expects the price to continue to rise, with another target sitting at $5.4. Reaching this level would mean an over 650% rise for the asset. Last but not least is the top target placed at $55. If MATIC were to rise this high, it would be a 7,800% increase in price.
MATIC Death Cross Worries Investors In response to Bixley’s analysis, another crypto analyst took to the platform to point out a worrying trend. The analyst shared a chart that pointed out the formation of a death cross on the weekly chart for MATIC, something that could be very bearish for the price.
They point out that this formation could mean that the Polygon price is going much lower, and not higher, as Bixley believes. The chart shows a possible 70% drop from the current level, which would put the MATIC price well below $0.2.
If this analysis were to play out instead of Bixley’s analysis, then Polygon investors could risk losing even more of their investments during this time. However, with the bull market expected to resume and cryptocurrencies expected to follow Bitcoin, it is more likely to see an update compared to such a massive crash.
MATIC price at $0.73 | Source: MATICUSDT on Tradingview.com Featured image from Zipmex, chart from Tradingview.com
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Scott Matherson Scott Matherson is a leading crypto writer at Bitcoinist, who possesses a sharp analytical mind and a deep understanding of the digital currency landscape. Scott has earned a reputation for delivering thought-provoking and well-researched articles that resonate with both newcomers and seasoned crypto enthusiasts. Outside of his writing, Scott is passionate about promoting crypto literacy and often works to educate the public on the potential of blockchain.