A closely followed strategist has revealed key price levels for an Ethereum (ETH) competitor that is making a difference in the generally bearish crypto market.
Popular analyst Justin Bennett has done an in-depth review of Polygon (MATIC), a scaling solution designed to enable widespread adoption of decentralized applications on the Ethereum blockchain.
Bennett believes that $2.70 is a major hurdle for MATIC, and if this hurdle is overcome, it could boost the altcoin to all-time highs.
“If MATIC rises above $2.70 in the coming weeks, it is likely to find resistance at the top of this channel here. Whether that’s around $4.00 or $4.70, this level here depends on when MATIC tests it. The market loves symmetry. And that’s why equidistant channels like this work so well. If MATIC rises above $2.70, a daily close above that, that would be support and then resistance here at this level [about $4] and above this $4.70 level. 2. Wait for the daily close above $70 and then target the top of this channel somewhere between $4.00 and $4.70. ”
At the time of writing, the MATIC has gone up a bit and is priced around $2.60. Less than two weeks ago, the altcoin was trading as low as $1.75. A price of $4.00 per MATIC represents an increase of over 50% from today’s price, and a MATIC of $4.70 represents an increase of 80%.
Bennett said he’s considering several possible scenarios for MATIC over the next few weeks. Besides the optimistic game already discussed, the analyst also takes into account a possible scenario that would invalidate the bullish scenario.
“Over the next few days we either get a close above $2.70, turn this area to support, and then we get a move… and then we might come back to this area 2. 60-2. $70]. In the third scenario, if MATIC fails and crashes, the area to hold will be right here around $1.70. The only reason the break above $2.70 is working is because the market is making higher and higher lows. ”
