MATIC price continues to consolidate, breakout towards $3 likely

  • MATIC price has massive support nearby, limiting downside pressure.
  • Bitcoin’s rally will contribute to MATIC breaking out to new all-time highs.
  • Oscillator values and conditions confirm that a bullish breakout is likely to be sustained.

MATIC price action has been lacking compared to its peers – but that is about to change. It once dominated the social media and speculation space for cryptocurrencies. However, signs show that attention will once again be focused on MATIC.

MATIC price coiled for a massive spring higher, new all-time high close targeted

MATIC price is poised for a significant breakout if it can hold its near-term support structure. On the weekly Ichimoku chart, the 50% Fibonacci retracement and Kijun-Sen share the same price level at $1.53. Just below that is the Tenkan-Sen at $1.40. Sellers have already been rejected from moving below the Tenkan-Sen as buyers stepped in and supported MATIC.

A Fibonacci expansion drawn from the July 23rd swing low of $0.62 to the September 10th swing high of $1.80 projects the 100% Fibonacci expansion level at $3. Beyond the 100% level is the 161.8% Fibonacci expansion at $5.60. It is expected that some short-term selling pressure will occur around the $3.00 level before testing higher towards $5.60.

The oscillators show that any breakout is likely to be sustained. The Relative Strength Index continues to ping-pong between the oversold levels of 55 and 65 while the Composite Index nears a bull cross over of its slow moving average.

MATIC/USDT Weekly Ichimoku Chart

If short sellers desire to invalidate the imminent bullish breakout, they will need to push for a clear close below the weekly candlestick of September 24th close of $1.13. Until then, MATIC price is poised to rally with the broader cryptocurrency market.

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