Polygon’s Big Rebrand: Will MATIC Price Surge 46%?
The cost of MATIC, the intrinsic gas and staking token for the Polygon network, has been steadily rising as the cryptocurrency market gains momentum. With the upcoming rebrand from MATIC to POL set for September 4, there is a great deal of anticipation within the community. Presently, the price of MATIC is at $0.4434, reflecting a 7.2% increase, and indications point to a potential 46% breakout in the near future.
Traders have been taking advantage of the recent surge in Bitcoin prices and the excitement surrounding the token rebrand to drive up the price of MATIC. Data from Coinglass reveals significant bullish activity, with a surge in Long positions initiated by traders. This has resulted in a 1.73% increase in the MATIC cumulative volume delta (CVD) and a 5.67% increase in open interest (OI), both of which indicate a strong bullish sentiment.
However, despite the recent price surge, on-chain data from Santiment indicates a decline in daily active addresses and transaction count for the Polygon network, suggesting reduced demand from investors.
From a technical analysis perspective, MATIC is presently trading near the upper boundary of a falling channel, signaling a pivotal turning point. The asset is positioned for a potential breakout, with $0.46 being a crucial level to monitor. A breakout above this level could indicate a reversal in the current downtrend and pave the way for a short-term rally.
The midline of the Bollinger Bands is currently undergoing testing by the Polygon price, and a sustained break above this level could indicate a shift in momentum. Furthermore, the contracting bands suggest an upcoming period of heightened volatility. The Coppock Curve, which aids in identifying long-term buying opportunities, is at -4.1552, indicating the presence of bearish momentum that may be diminishing.
Looking forward, if MATIC fails to break above $0.4631, it could signal market weakness and a continuation of the downward trend. In such a scenario, traders may consider taking short positions with targets at $0.3850, $0.3400, and $0.2780.
As the rebrand to POL approaches, there are high expectations for MATIC price performance in the short term. The cryptocurrency market is eagerly anticipating the rebrand, and with the current bullish momentum, there is a strong possibility of a significant price surge.
In conclusion, the impending rebrand from MATIC to POL, combined with the recent Bitcoin price revival, has set the stage for potential gains in the price of MATIC. Traders and investors are closely monitoring the key levels and market indicators for signals of a breakout, and the overall sentiment remains positive as the community prepares for a new era for the Polygon network.
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