Polygon [MATIC] ready for a big move to the upside, but critical resistances may block rally

Polygon [MATIC] has emerged as quite the performer in the crypto market lately. In fact, MATIC was one of the few assets that managed to reverse its losses from the weekend sell-off. Over the past seven days, the crypto was up by more than 5%.

After piercing through a crucial resistance level, MATIC appeared to have entered a period of consolidation. Despite an uptick in volatility, the technicals depict that troubles aren’t over yet.

Over the past day, Polygon [MATIC] rose by 7.50% which pushed its price to $1.45. The crypto asset registered a market cap of $9.73 billion and a 24-hour trading volume of $1.44 billion, at the time of writing.

Polygon [MATIC] Daily Price Chart:

After intense profit-taking on the 7th and 8th of September, the MATIC price candles dodged the attempts of the upsloping 50 DMA [Pink] to surge past. On the other hand, the gauge between the 100 DMA [Blue] and the 200 DMA [Yellow] appeared to be on a decline which could pose a threat to the mild uptrend initiated by the bulls.

The volume was low, hence the upward move could be hampered by the multiple resistances that stand in the way of the bullish target.

Despite the rise, the dotted markers of the Parabolic SAR were aligned above the candlestick arrangement resisting and current positive price movement. The MACD, however, geared up for a potential bullish crossover in the near term depicting a rise in demand for MATIC. A similar sentiment was demonstrated by the Relative Strength Index [RSI] which moved over the 50-median line after a week indicating a shift in dominance from the sellers to the buyers.

To reclaim the previous highs, Polygon needs to breach the immediate resistance of $1.52 following which the level of $1.74 will come into play. The support level, on the other hand, stood untested at $1.23, and $1.01 respectively.

Chayanika Deka: Chayanika is a full-time journalist at TronWeekly with over two years of experience. A graduate in Political Science and Journalism, she focuses on the political and financial impact of cryptocurrency and blockchain developments.