MATIC Price Prediction: Why MATIC is walking on a Tight Rope

Saif Naqvi

MATIC has shifted to an important trendline after extending its correction to Wednesday. Ideally, an oversold RSI and bullish twin peak on the Awesome Oscillator should trigger a bullish rebound but a weak Bitcoin could play spoilsport. To be on the safer side, traders should stay put and wait for a clear move in either direction. At the time of writing, MATIC traded at $2.03, down by 2.2% over the last 24 hours.

MATIC 4-hour Chart

Source: TradingView

Lately, MATIC’s price has been under fire after a double top at $2.45 led to an 18% market drawdown. As a result, its price is now tested at a trendline that has consistently lent support since September 2021. The trendline also coincided with the 23.6% Fibonacci level (calculated from MATIC’s ascent to $2.45 from $1.91) and formed a bit of a safe zone for MATIC.

New longs within this region would likely see MATIC mount another comeback to $2.45 until a trip top pattern initiates another correction. Overall, the move to $2.45 would account for a 20% ascent from MATIC’s press-time level.

A favorable outlook was backed by the hourly RSI, which was trading close to oversold territory. Its current reading makes for an attractive buy opportunity as MATIC remains ‘undervalued’.

In fact, a bullish twin peak on the Awesome Oscillator suggested that buyers were outpacing selling over the last few hours. The setup often signals a strong wave of bullish momentum.

However, broader market dynamics must be understood before making any long bets. Bitcoin was expected to challenge $40K soon and a breakdown would not bode well for alts. The same would likely see the MATIC slip beneath its support trendline and register a new low of around $1.78.

Moreover, the hourly OBV showed that sellers were dictating market movement since 27 December. Just like MATIC’s price, its OBV was also trading at crucial support and awaited a crucial rebound.


Traders should wait for a bullish or bearish confirmation before placing any bets. For a favorable outcome, MATIC needed to ground its feet above the 50% Fibonacci level. Meanwhile, a bearish outlook would be validated if the price slips below $1.91.