It has been a relatively calm period price action for Polygon (MATIC) over the last few weeks. On this day last month, MATIC was trading around its October low of $0.5154 before inflows into the crypto market.
Although the cryptocurrency has performed reasonably well and is up 82% since then, its rise has largely been overshadowed by inflows into Bitcoin and alternative cryptocurrencies such as Solana, which have seen a 188% increase. % during the same period.
After briefly falling below $0.9 several times this week due to consolidations, MATIC has now removed minor support at the $0.91 level. On-chain metrics such as number of transactions, addresses making profits, and futures open interest all indicate a continued increase in MATIC.
Polygon network metrics explode
Data from various market analysis platforms showed a spike in transactions on the polygonal network. Cryptoquant places the total number of transactions at its highest level since September. At the same time, data from IntoTheBlock shows that the volume of large transactions (transactions over $100,000) reached $636 million in the last 24 hours, an increase of more than 387% compared to yesterday. According to the analysis sitethis is an increase of over 3,800% from 30 days ago.
Futures trading volume on MATIC has also increased over the past week, as shown by the amount of open interest. According to chart data from Coinalyze, open interest on various MATIC futures markets jumped 120% this month.
As the chart below shows, total open interest now stands at $260 million, up from $118 million as of November 1. This dramatic increase shows that more and more traders are betting on a significant rise in the price of MATIC in the future.
MATIC currently has one of the highest percentages of addresses that purchased around the current price at a profit. Data from IntoTheBlock’s “In/Out of the Money Around Price” metric shows that 71.23% of MATIC addresses those purchased between $0.800122 and $1.08 are currently making a profit. In comparison, around 66.99% of Bitcoin addresses that purchased around the current price make a profit.
MATIC price to reach $2?
Technical analysis of MATIC Price Chart shows that the token could be preparing for over $1 or more in the coming weeks. MATIC has already bounced off a support level around $0.86 more than four times this week, indicating that the bulls are not yet ready to give up their momentum.
MATIC is trading at $0.94 at the time of writing, and the next resistance is around a bearish order block that proves resistant at $9.8. A breakout of this resistance could see MATIC rise above $1, and a move above $1 would confirm the uptrend and open the door for a run towards $2 or higher.
According to Dave La Vague, Polygon is about to enter an uptrend against Bitcoin. The crypto analyst’s technical analysis indicates a 200% increase from its current value at around 0.0000618 BTC, the equivalent of $2.25.
MATIC bulls hold $0.9 support | Source: MATICUSDT on Tradingview.com
Featured image from CPO Magazine, chart from Tradingview.com