Polygon (POL) hit its four-month excessive immediately following its 11% day by day surge. The cryptocurrency surpassed the $0.60 mark earlier than retracing, sparking a bullish sentiment amongst buyers and market watchers. Because of this, a famend crypto analyst predicted a large 2,500% rally for POL within the coming months.
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Polygon On-Chain Metrics Flip Bullish
Polygon has seen a exceptional efficiency over the previous three weeks, rising round 107% because the November 5 market pump. POL, beforehand MATIC, has seen its worth transfer from beneath the $0.30 mark to a four-month excessive of $0.61.
This efficiency has been fueled by a number of elements, which have propelled the token’s worth by almost 40% within the final seven days and will stage “probably the most hated rallies,” as Ali Martinez shared on X.
The analyst defined that Polygon has been experiencing an “necessary spike in on-chain metrics” over the past week, which may drive POL’s worth to a “wild” worth motion sooner or later.
Martinez famous that a whole lot of buyers maintain Polygon from the earlier cycle, the place the mission’s token hit its all-time excessive (ATH) of $2.92. Nonetheless, most of them document losses since solely 15.11% of Polygon holders are within the inexperienced.
Per the submit, it is a optimistic signal for POL’s worth motion, as most of its buyers received’t promote for revenue on the present worth ranges. The analyst added that on-chain information suggests a brand new wave of buyers are positioning themselves for the rally’s second leg.
This was signaled by the current improve in day by day energetic addresses, transaction quantity, and whale exercise. POL’s day by day buying and selling quantity has recorded a 190% improve within the final week, leaping from the $250 million mark to $736 million.
Moreover, whales purchased over 140 million POL, now value round almost $80 million, within the final week and a half, with large-scale purchases considerably rising since November 5.
POL To Hit $15 This Cycle?
Martinez advised that with the whales’ shopping for spree and the decreased promoting strain, the POL “technicals look superb.” To him, the cryptocurrency is nearing a breakout from a multi-year descending triangle.
The analyst defined that Polygon has been consolidating in a descending triangle formation since hitting its ATH virtually three years in the past. Practically every week in the past, the token “bounced off the triangle’s x-axis,” and had its Transferring common convergence/divergence (MACD) “on the verge of a bullish crossover.”
This advised that whereas sentiment stays general bearish, “bullish indicators are piling up,” indicating a possible rally towards a brand new ATH.
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Primarily based on this, Martinez predicted that POL’s breakout may probably result in a 2,500% rally within the coming months. A weekly shut above $0.7973 may spark a rally to $15.27, he detailed, including that it may additionally ignite a 6,200% soar to $36.17.
The analyst added that an important help wall for POL was between the $0.375 and $0.386 worth vary, damaged over every week in the past, with little resistance within the greater ranges.
As of this writing, POL is buying and selling at $0.58, a 75% improve within the month-to-month timeframe.
Featured Picture from Unsplash.com, Chart from TradingView.com
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