The Polygon (MATIC) market has become an enigma for investors, showing interesting signals that may indicate an upcoming price increase. Despite MATIC cryptocurrency’s relatively neutral price performance, hidden data points to a quiet accumulation phase in the last two weeks. This situation is often associated with significant price movements, raising the question of whether MATIC is preparing for an explosive move.
When closely examining the price chart of the altcoin MATIC, there is a notable recovery following an unexpected and critical 21% drop. The market’s response to this drop is key to understanding the potential trajectory of the altcoin.
After a significant drop, experienced investors often look for signs of accumulation for potential upward momentum. This aligns with the market wisdom that “volume precedes price.” If this accumulation continues, it could indicate that a price increase is just around the corner.
Analyzing the daily MATIC/USDT chart, the volume profile clearly shows a decline, suggesting that the trend may reverse in the near future. The correlation between increasing volume and the ongoing price range indicates that investors are recognizing the value at these levels and entering the market, laying the groundwork for a potential rise.
Technical analysts are ready to confirm these observations by monitoring confirmed breakouts on the charts. A significant breakout would include the closing of altcoin MATIC above a major resistance level, supported by increased volume. This confirmation would strengthen the theory of an imminent explosive price movement.