Additionally, he outlined several resistance areas and several support areas that are likely to react to the price. Let’s take a deep dive and analyze this possible movement.
$MATIC #MATICNETWORK— Michaël van de Poppe (@CryptoMichNL) October 21, 2019
And we're holding the green zone here as support.
As long as that is held as support, I'm expecting further upwards movements towards the 240-250 range here. pic.twitter.com/Bkfjvt1t0S
MATIC Turns Resistance Into SupportThe MATIC price did a textbook breakout movement on October 10. After breaking out of the 165 satoshi resistance area, it reached a high of 210 satoshis before decreasing to validate the previous resistance area — which has now turned to support. Once it reached it, it created a triple bottom — which is a bullish pattern — before initiating another upward movement. Looking at the move in a short-term time-frame, we can see that the MATIC price just broke out above a descending resistance line. Also, the triple bottom was combined with a bullish divergence in both the RSI and MACD — further increasing its significance.
Future Resistance?Looking at the daily chart, we can see an ascending channel — the support line of which has been present since MATIC’s inception. If the MATIC price continues trading within the confines of this channel, it should reach the 225 satoshi resistance area sometime in December. Since the volume has been steadily decreasing and the RSI shows overbought values, we do not think the price will break out from this channel. Rather, it is likely to trade inside it until it eventually reaches the resistance area. Do you think MATIC will reach the resistance area at 225 satoshis? Let us know in the comments below.
Disclaimer: This article is not trading advice and should not be construed as such. Always consult a trained financial professional before investing in cryptocurrencies, as the market is particularly volatile. Images are courtesy of TradingView, Shutterstock.
In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions.