Taking a short-term pullback after a remarkable, bullish trend of 35% in just seven days, the MATIC price falls back under $1. Losing such a crucial psychological mark, the sentiments around Polygon take a hit and put a small dent in the uptrend.
With a higher price rejection around $1.05, the Polygon prices reverse quickly to retest the broken range at $0.96. As the buyers hope for a successful post-retest reversal, the MATIC price prediction remains optimistic for the coming year.
Source – Tradingview
With the high trading volume candles supporting the seven days of bull run, the MATIC price scales to the psychological mark of $1. However, the Polygon trend has entered a pullback state, with the buyers failing to handle and absorb the excessive supply above $1 due to extensive profit booking.
As the higher price rejection leads the MATIC price to retest the broken $0.96 range, a fightback from buyers leads to lower price rejection in the daily candle. With the bullish recoil, the Polygon market value is at $0.9855 and limits the intraday fall to 1.81% at press time.
Moreover, the lack of trading volume support to the retest phase increases the likelihood of a bullish turnaround. Hence, the possibility of a morning star arises in the daily chart.
Technical indicators:
MACD Indicator: Despite the recent correction, the momentum indicator supports the bullish rally, as the MACD and signal lines sustain the positive alignment. However, a short dip in the bullish histogram is visible, reflecting a momentary loss in momentum.
EMA indicator: The bullish crossover in the 50D EMA and 200D EMA maintains a positive alignment and is ready to provide dynamic support.
Will MATIC Price Recovery Hit $1.5?
With a retest phase slightly before the start of 2024, the MATIC price is ready to launch a high-momentum bull run beyond the $1 mark. This will offer sideline buyers a new entry opportunity and a suitable launchpad for higher recovery.
As per the trend-based Fibonacci extension level, the MATIC price may chase potential targets of $1.20, followed by $1.50.
Conversely, if the retest phase leads to a quick fall below the $0.96 range, the selling pressure will intensify and test the $0.90 mark.
