Is Polygon -MATIC- Setting up For a Rally to $2s?

A new bull run has most likely begun

For those who trade with Polygon, aka MATIC, but are new to my job, check out my recent updates on Bitcoin (BTC) and Ethereum (ETH) – here and here for example – to see the accuracy and reliability of my analyzes. I mainly use the Elliott Wave Principle (EWP) in combination with technical analysis (TA) to determine likely next moves and short and long term price targets.

Although this is my first public update on MATIC, I have been providing updates about it to my premium crypto members for a long time and it is also featured in my algorithm-based crypto trading alert service.

That said, Figure 1 below shows Polygon’s monthly candlestick chart and the chart tells me that MATIC most likely completed the primary (blue) IV wave. From the EWP, we know that the V-wave must follow. As you can see, once MATIC broke below the critical $ 1.30 level, simple symmetry, Fibonacci-based retracements and support levels told us to look for a low in the $ 0.40- region. 0.60.

The cryptocurrency dropped to a low of $ 0.32 in June, but closed that month at $ 0.48. Essentially exactly as expected two months ago. This is the power of EWP and TA combined. A monthly close above the $ 1.3 level will confirm the presented EWP count. To suggest otherwise, MATIC will have to close below the July low of $ 0.44. With this in mind, it is prudent to understand short-term price action.

Figure 1. Polygonal monthly chart with detailed EWP count and technical indicators.

The June-August rally was a boost

Figure 2 below shows the short-term EWP count. The price action from the June low to the recent August high is best valued as a five-wave impulse pattern. And from the EWP, we know that after five waves above (the red-i wave includes five smaller green waves), we have to expect three lower waves (the red-ii wave includes three smaller green waves so far) and more five waves at the top (red wave-iii).

Figure 2. Daily polygon chart with detailed EWP count and technical indicators.

The red boxes show the typical Fibonacci wave-ii based retracement target zone and MATIC has already reached the bare minimum this week. As such, the wave-ii correction can be complete. To be more certain of this, we need to see the cryptocurrency break through the $ 1.00 level (blue arrow). So he can aim for $ 2+ for the (red) waves -iii, iv and v.

Alternatively, as corrections are often complex price patterns, Polygon could stop at around $ 0.92 +/- 0.02 (green-b wave) and drop below $ 0.75 aiming for ~ $ 0, 60 +/- 0.02 (green-c wave): red arrows. Therefore, in the short term, there is still a little uncertainty about the exact path, but even a decline will present a new pattern from which MATIC can rise strongly to satisfy the bullish EWP pattern found in Figure 1.

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