Polygon (MATIC) Comeback Challenges – What’s Holding It Back?

Christian Encila

Last Updated: September 21, 2023 7:24 am

3 mins read

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Polygon (MATIC) enthusiasts remain undeterred as they continue to push the price of the digital asset higher despite a prevailing bearish market structure, While the higher timeframe structure paints a bearish picture, buyers have been steadily driving prices upwards.

At the time of writing, MATIC is priced at $0.541671 on CoinGecko, marking a 2% gain in the past 24 hours and a noteworthy 4.5% increase over the course of a week.

Derivatives Market Wary Despite MATIC’s Resilience

Market participants in the derivatives sector have, however, approached MATIC’s recent bullish moves with caution. Data provided by Coinalyze reveals a consistent dip in Open Interest, even in the face of decent price gains. This dip suggests a lack of conviction among traders regarding MATIC’s price rebound.

Source: Coinalyze

However, there are underlying indicators that may paint a more optimistic picture for Polygon, according to price analysis. The Funding Rate has remained positive since last week, and the Spot CVD (Cumulative Volume Delta) has maintained its upward trend. These factors hint at a growing demand for MATIC, which could play a pivotal role in supporting a sustained bullish surge.

Moreover, buyers found renewed enthusiasm as Bitcoin (BTC) made a swift climb to the $27,000 price range, igniting fresh bullish sentiment.

Technical Signals Point Toward Growing Confidence

A closer look at the technical indicators shows that buying pressure has been gradually increasing. The Relative Strength Index (RSI) currently stands at 58, underscoring the rising bullish sentiment among MATIC investors. Similarly, the Chaikin Money Flow (CMF) has flipped positive with a reading of +0.04, indicating an influx of capital into the asset.

MATIC market cap at $5 billion. Chart: TradingView.com

Examining the 12-hour chart for MATIC reveals a conservative yet sustained bullish approach to the price rebound. These signals collectively point towards a growing bullish confidence in the short term. While the broader market may appear bearish, MATIC enthusiasts seem determined to defy the prevailing sentiment and drive the digital asset’s value higher.

Polygon (MATIC) buyers have remained resilient in the face of a bearish market structure. The digital asset’s price has shown steady progress, and key indicators suggest that demand for MATIC remains intact.

With growing buying pressure and positive technical signals, MATIC enthusiasts may have reason to believe that the tide could turn in their favor, despite the overarching market conditions. Investors will be closely watching the coming days to see if this bullish momentum can be sustained.

(This site’s content should not be construed as investment advice. Investing involves risk. When you invest, your capital is subject to risk).

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Christian Encila

They say journalists never truly clock out. But for Christian, that's not just a metaphor, it's a lifestyle. By day, he navigates the ever-shifting tides of the cryptocurrency market, wielding words like a seasoned editor and crafting articles that decipher the jargon for the masses. When the PC goes on hibernate mode, however, his pursuits take a more mechanical (and sometimes philosophical) turn.

Christian's journey with the written word began long before the age of Bitcoin. In the hallowed halls of academia, he honed his craft as a feature writer for his college paper. This early love for storytelling paved the way for a successful stint as an editor at a data engineering firm, where his first-month essay win funded a months-long supply of doggie and kitty treats – a testament to his dedication to his furry companions (more on that later).

Christian then roamed the world of journalism, working at newspapers in Canada and even South Korea. He finally settled down at a local news giant in his hometown in the Philippines for a decade, becoming a total news junkie. But then, something new caught his eye: cryptocurrency. It was like a treasure hunt mixed with storytelling - right up his alley!

So, he landed a killer gig at NewsBTC, where he's one of the go-to guys for all things crypto. He breaks down this confusing stuff into bite-sized pieces, making it easy for anyone to understand (he salutes his management team for teaching him this skill).

Think Christian's all work and no play? Not a chance! When he's not at his computer, you'll find him indulging his passion for motorbikes. A true gearhead, Christian loves tinkering with his bike and savoring the joy of the open road on his 320-cc Yamaha R3. Once a speed demon who hit 120mph (a feat he vowed never to repeat), he now prefers leisurely rides along the coast, enjoying the wind in his thinning hair.

Speaking of chill, Christian's got a crew of furry friends waiting for him at home. Two cats and a dog. He swears cats are way smarter than dogs (sorry, Grizzly), but he adores them all anyway. Apparently, watching his pets just chillin’ helps him analyze and write meticulously formatted articles even better.

Here's the thing about this guy: He works a lot, but he keeps himself fueled by enough coffee to make it through the day - and some seriously delicious (Filipino) food. He says a delectable meal is the secret ingredient to a killer article. And after a long day of crypto crusading, he unwinds with some rum (mixed with milk) while watching slapstick movies.

Looking ahead, Christian sees a bright future with NewsBTC. He says he sees himself privileged to be part of an awesome organization, sharing his expertise and passion with a community he values, and fellow editors - and bosses - he deeply respects.

So, the next time you tread into the world of cryptocurrency, remember the man behind the words – the crypto crusader, the grease monkey, and the feline philosopher, all rolled into one.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.