Polygon (POL) hit its four-month excessive right this moment following its 11% every day surge. The cryptocurrency surpassed the $0.60 mark earlier than retracing, sparking a bullish sentiment amongst traders and market watchers. In consequence, a famend crypto analyst predicted an enormous 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 components, 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” during the last week, which might drive POL’s worth to a “wild” worth motion sooner or later.
Martinez famous that quite a lot of traders maintain Polygon from the earlier cycle, the place the venture’s token hit its all-time excessive (ATH) of $2.92. Nonetheless, most of them report losses since solely 15.11% of Polygon holders are within the inexperienced.
Per the put up, this can be a constructive signal for POL’s worth motion, as most of its traders received’t promote for revenue on the present worth ranges. The analyst added that on-chain knowledge suggests a brand new wave of traders are positioning themselves for the rally’s second leg.
This was signaled by the latest enhance in every day lively addresses, transaction quantity, and whale exercise. POL’s every day buying and selling quantity has recorded a 190% enhance within the final week, leaping from the $250 million mark to $736 million.
Moreover, whales purchased over 140 million POL, now price round almost $80 million, within the final week and a half, with large-scale purchases considerably growing since November 5.
POL To Hit $15 This Cycle?
Martinez advised that with the whales’ shopping for spree and the lowered 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. Almost per week in the past, the token “bounced off the triangle’s x-axis,” and had its Shifting common convergence/divergence (MACD) “on the verge of a bullish crossover.”
This advised that whereas sentiment stays general bearish, “bullish alerts 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 might doubtlessly result in a 2,500% rally within the coming months. A weekly shut above $0.7973 might spark a rally to $15.27, he detailed, including that it might additionally ignite a 6,200% leap to $36.17.
The analyst added that a very powerful help wall for POL was between the $0.375 and $0.386 worth vary, damaged over per 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% enhance within the month-to-month timeframe.
Featured Picture from Unsplash.com, Chart from TradingView.com
