Polygon witnessed a remarkable performance in 2021, surging 16.192%. Will the alt sustain its growth this year?
Polygon (MATIC) is an ETH token offering scaling solutions to Ethereum and faster and cheaper transactions on layer2 sidechains. The platform uses MATIC as its in-house token. MATIC holders can use the count to pay transaction fees and for staking.
Polygon price saw massive surges within the past two years. MATIC traded around $0.0178 in 2021 January and climbed to $2.9 as the years ended. The token’s market cap stays beyond $13 billion. Let us check what 2022 might hold for the alt.
MATIC 2022 Price Forecast
Predicting the future prices of an asset necessitates fundamental technical analysis and mathematical computing approaches. Let’s focus on technical and fundamental analysis to determine MATIC’s actions this year.
Market players can use technical indicators to predict future prices. Let’s evaluate Polygon’s price forecast with this approach.
The Moving Average Convergence Divergence on the price chart shows uptrends for the altcoin. Keep in mind that this indicator reveals a bearish bias by red bars. The green bar graphs indicate the upsurge gaining momentum.
Also, the MAs depict price direction. According to the moving average line, A downward trend emerged on the price chart. Nevertheless, the price seems prepared for reversals following a flat move. MATIC presented a bullish candle. Traders might open long positions if the MAs display a decisive upward action.
On the other side, the RSI indicates surging prices after touching an oversold territory. Though the price flashes uptrends, it remains far from the overbought level. Therefore, investors may purchase and exit when the asset dips into the overbought region.
Unlike other trend-based indicators, Fibonacci retracement predicts price around different FIB levels. For now, MATIC trades at $1.9848, near the 50% retracement mark.
Value increases might discover resistance around $2.3022, 0.618% Fib level, surpassing this resistance will see MATIC heading to $2.5808 (0.786 FIB level) or YTD peak at $2.9270. Massive bullishness in the mark will see Polygon rallying to 1.618% FIB zone, matching $3.9204.
Technical analysis shows price reaction in the year ahead. Nevertheless, other factors can give Polygon the essential push. They include pipeline projects and partnerships.
NFTs have influenced price actions for many digital coins, and Polygon isn’t an exception. The ecosystem has flourished due to non-fungible tokens. Polygon launching further NFT projects might send the altcoin’s price higher.
Furthermore, the Polygon platform plans to deep further into p2e games. Blockchain games reward gamers with native coins and NFTs. Some of the Play-to-earn games planning to launch on the MATIC network are Nakamoto and Wonderhero games.
Polygon is an Ethereum-based scaling solution. Users can take advantage of Ethereum features, including faster and cheaper rates and high-end. Moreover, the Polygon network is creating NFTs and play-to-earn games. Success in these projects might see MATIC price hitting new peaks this year.
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