in the last hours polygon ‘s MATIC token showed strong bullish indicators following significant updates to governance recommendations for the community. While the crypto market is showing signs of stabilization and recovery, MATIC’s price brings hopes for additional corrections. This renewed hope is supported by an increase in network activity and a visible movement among large-scale investors, commonly known as “whales”.
The Implementation of Polygon 2.0 Led to a New Surge
Today, Polygon, the leading scaling solution for the Ethereum network, officially revealed three major changes in anticipation of the upcoming 2.0 upgrade. laid. These changes, pending community approval, include the introduction of a new POL token to replace the existing MATIC token. Announcements regarding Polygon’s upgrades are expected to positively impact the price of MATIC, which is trending towards recovery this week.
Data from Coinglass reveals that more than $150,000 in total short positions have been liquidated in recent hours after MATIC’s price successfully resisted falling below $0.5. This turn of events shifted market sentiment towards bullish expectations and was marked by a significant increase in MATIC purchasing activity. This trend indicates increasing demand for MATIC at the current price point.
Additionally, recent on-chain data from IntoTheBlock has revealed a noticeable increase in large transactions and exit volume. Notably, more than 10 million MATIC tokens have been withdrawn from exchanges in the last three days. This move follows promising developments around Polygon’s new POL token and adds a reason for massive accumulation. In terms of market activity, the volatility rate for MATIC has increased to an impressive 47.25%.
This increased volatility indicates an increase in trading activity amid bullish sentiment and brings with it the possibility of a breakout move in the coming hours.
What’s Next for MATIC?
Koinfinans.com As we reported in the last few hours, the bulls have been trying to confirm a clear bullish rally as the price of MATIC attempts to break above the neckline of the resistance level. This shows that small price increases are met with sales. As of writing, MATIC’s price is trading at $0.523, up over 2.3% in the last 24 hours.
For a sign that the bearish momentum is waning, the bulls need to push and maintain the price above the 50-day EMA and $0.54. A successful move could initiate a rally towards EMA200 at $0.57, a point where bear traders are likely to find strong resistance.
On the downside, the bears are aiming to sink the price below the immediate support level at $0.49. Achieving this could sink MATIC price to a key support level at $0.42. The bulls are likely to defend this level aggressively, as a break below could pave the way for further declines.