MATICBTC Analysis 08/06/19
MATIC soared against Bitcoin today, realizing a 40% gain. This increase in price was backed by a surge in volume, allowing MATIC to break through its short-term downtrend and 120 satoshis resistance level at the same time.
The volume spikes clearly indicates new cash flowing into the pair, buyers stepping in and taking the control on the short-term.
After such a rise, we are inclined to expect a pullback due to some long covering. We could see the pair going down toward its former resistance at 120 satoshis. A rejection there would confirm that this level has now become a support and should allow buyers to enter.
However if buyers are not able to defend the 120 satoshis level then we should see MATIC going down toward its former downtrend resistance.
It is important to note that although this rise has broken some short-term resistances, the pair has been making lower highs and lower lows during the last weeks, indicating that MATIC keeps evolving in a downtrend channel.
Raphaël Comte
Investment Analyst at Token Metrics
Disclosure: Token Metrics is a regular publication of information, analysis and commentary and does not provide individually tailored investment advice. Its principal has advised and invested in many blockchain companies. A complete list of his disclosures, advisory roles and current holdings can be viewed here: ianbalina.com/pages/transparency.................................... .
The volume spikes clearly indicates new cash flowing into the pair, buyers stepping in and taking the control on the short-term.
After such a rise, we are inclined to expect a pullback due to some long covering. We could see the pair going down toward its former resistance at 120 satoshis. A rejection there would confirm that this level has now become a support and should allow buyers to enter.
However if buyers are not able to defend the 120 satoshis level then we should see MATIC going down toward its former downtrend resistance.
It is important to note that although this rise has broken some short-term resistances, the pair has been making lower highs and lower lows during the last weeks, indicating that MATIC keeps evolving in a downtrend channel.
Raphaël Comte
Investment Analyst at Token Metrics
Disclosure: Token Metrics is a regular publication of information, analysis and commentary and does not provide individually tailored investment advice. Its principal has advised and invested in many blockchain companies. A complete list of his disclosures, advisory roles and current holdings can be viewed here: ianbalina.com/pages/transparency.................................... .
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.