Investor Activity Signals Polygon (MATIC) Price Rebound

Polygon (MATIC) is one of the few altcoins that is backed by investors and has seen a rapid recovery.

Altcoins could soon be on track to regain the gains lost during the early April correction.

Polygon investors are optimistic

MATIC price is rising on the daily chart and Polygon investors are eyeing this potential recovery. They are acting accordingly, and the network notes that sales over the past few days have been minimal.

This sentiment has been extended as of this writing. If we break down the active addresses by revenue, we can see that only 6% of the investors are profitable. This means that those pointing to profits are not choosing to sell, making HODLing the dominant sentiment.

MATIC active addresses by revenue gender. sauce: into theblock

This is critical in supporting the recovery, as selling will only hinder potential price increases.

Read more: How to buy Polygon (MATIC) and everything you need to know

Further driving the recovery are futures market traders. These investors are placing bullish bets on his MATIC price, which shows optimism and confidence. This is evidenced by the funding rate, which has been negative for the past few days.

The funding rate represents the fee between long-term and short-term subscribers to maintain price equilibrium. Typically, a negative rate indicates a preference for short-term contracts, and a positive rate indicates a preference for long-term contracts.

MATIC Funding rate.
MATIC Funding rate. sauce: coin glass

Given that MATIC’s funding rate is gradually returning from negative to positive, this is a sign that the altcoin could soon see growth.

MATIC Price Prediction: This rebound is necessary

At $0.72 at the time of writing, MATIC price is just above the key support at $0.72. This level has been successfully tested as support many times in the past and has generally risen since then.

Therefore, if this level becomes established as support, MATIC price could try to rise to $0.81. A breakout could allow it to recoup almost half of the losses witnessed earlier this month.

MATIC/USDT daily chart.
MATIC/USDT daily chart. sauce: TradingView

Read more: Polygon (MATIC) Price Prediction 2024/2025/2030

However, if $0.72 is lost as support, MATIC price could fall to $0.65, invalidating the bullish theory and potentially causing a drawdown below $0.60.

Disclaimer

In accordance with Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. Although BeInCrypto strives for accurate and unbiased reporting, market conditions are subject to change without notice. Always do your own research and consult a professional before making any financial decisions. Please note that our Terms of Use, Privacy Policy, and Disclaimer have been updated.

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