MATIC price saw a considerable boost in buying pressure on October 28 that shattered two crucial barriers but failed to continue this upswing. As a result, Polygon has retraced and is awaiting another injection of volatility to slice through the hindering hurdles. This move will propel the Layer 2 token to new highs.
MATIC price set up three equal highs at $1.76 and three higher highs since June 7. Connecting these swing points using trend lines reveals the formation of an ascending triangle. This technical formation forecasts a 150% to $4.32, obtained by adding the distance between the first swing high and swing low to the breakout point at $1.76.
MATIC price breached through the said barrier on October 28 and rallied 24% in a single day. However, Polygon bulls lost their charm, undoing almost all of the gains over nine days. Now, MATIC price is coiling up just above the $1.76 support floor, suggesting a volatile move is on its way.
To trigger this upswing, MATIC price needs to have enough fuel to slice through the $2.03 and $2.21 resistance barriers. Doing so will allow Polygon to kick-start a nearly 100% upswing that propels MATIC price to a new all-time high at $4.32.
If the consolidation that is currently occurring results in an increased selling pressure that pushes MATIC price to shatter through $1.76 and produce a daily close below it, it will invalidate the ascending triangle’s bullish thesis.
This move will likely trigger panic selling, further knocking MATIC price down to the subsequent support floor at $1.56.
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