Polygon, formerly known as Matic, is a popular framework and layer-2 scaling platform. It offers great features by enhancing the interoperability of the Ethereum blockchain and other compatible networks. Indeed, the price is stable and less volatile, so it gained lots of traffic this year.
It is designed to scale Ethereum and make it a fast, easy, and secure blockchain for transactions. Ethereum’s mainnet is layer 1, and Polygon makes layer 2 of the scaling framework. Thanks to its framework, it is designed to handle more volume and security than Bitcoin and Ethereum. It has a smooth UX that makes it more user-friendly.
Some of the great features of this platform are:
- It offers low cost and safe transactions
- Extremely scalable
- Easier for horizontal scaling
- Smooth user experience
The Polygon architecture was designed by Indian blockchain developers Sandeep Nailwal, Anurag Arjun, and Jayanti Kanani. It was developed in 2017 with an aim to solve slow transactions, higher fees issues of Ethereum.
The crypto was popularized globally after American entrepreneur Mark Cuban invested in MATIC. The more security, faster and cheaper transactions create an anticipated hype in the crypto world. In February 2021, MATIC rebranded as Polygon.
At the time of writing this technical analysis, MATIC is trading around $2.438. Overall, the chart is bullish in daily and weekly charts. We are going to analyze the daily chart to understand the short-term movement of this coin.
The price of Polygon has been following a trendline and took support around $2.36. If it breaks the level, the coin may go for a short-term bearishness. It has already made an ATH in December, so theoretically, it can be a resistance level. However, we think it may not be a resistance point.
On the daily chart, the MACD is bearish, but the RSI is strong, around 58. However, the last two daily candlesticks formed in the lower half of the Bollinger Bands. However, we do not think it is as bearish. The MATIC price may consolidate for a couple of months, but it continues its bullish run this year.
If you are a new investor, you should find more information to know whether it is the right opportunity to start your investing journey. Traders can make an entry for long as well as short-term. However, if you have Polygon, do not sell it now. It has already provided a handsome return, and it will continue to do so in the years to come. Now it is at its support level and offers a good buying opportunity for the investors. Hold it for the long term and reap the benefits of cryptocurrency.