MATIC has surged significantly over the past 24 hours, dragging the price of the asset near the dollar bar. It followed the path of an upward trendline and rose significantly. MATIC has been continuing its bullish trajectory for a week and the asset has generated double-digit gains.
The altcoin broke through several crucial resistance marks and is now sitting above the $0.77 support line. Chances of a pullback cannot be ruled out as the coin has been quite bullish over the past week. Bitcoin recently hit the $22,000 level, pushing major altcoins higher.
The altcoin bulls are now under control as buyers have regained confidence in the coin. MATIC was overrated at the time of writing. The technical outlook for the coin remained bullish on the four-hour chart. The altcoin continued to form higher highs indicating bullish strength on the chart. If the bulls maintain the current price momentum, MATIC will soon see the dollar mark again.
MATIC Price Analysis: Four-Hour Chart
The altcoin was trading at $0.903 on the four-hour chart. MATIC was very close to revisiting $1.00. If the buyers maintain their momentum, MATIC will continue to soar. The aerial resistance of the coin stood at $1.00.
On a pullback, the closest support level for MATIC was $0.77, below which was the $0.68 mark. The altcoin maintained an upward trajectory (yellow line) painting a bullish picture on the chart. The amount of MATIC traded has increased over the past few days, indicating increasing bullish strength.
Technical analysis
With increased buying momentum, the asset recorded excess buying force. The indicators are represented in the same way on the four-hour chart. The relative strength index over the past few days has visited the overvalued zone.
At press time, RSI was in the overbought zone. Usually, a pullback occurs when the asset visits the overbought zone. MATIC’s price was also well above the 20-SMA line, suggesting that the buyers are driving price momentum in the market.
A price above the 50-SMA and the 200-SMA is considered a sign of a strong uptrend.
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The altcoin showed buy signals on the chart that other indicators priced in. Awesome Oscillator shows price direction and trend changes. AO represented high green signal bars as the coin turned green, which were also buy signals.
Parabolic SAR represents the market momentum of a crypto, dots below the price always indicate upward price momentum. For MATIC to maintain its momentum, the coin must cross the $1.00 mark and maintain substantial buying strength. Broader market support also remains vital.
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Featured image from Forbes.com, chart from TradingView.com