Polygon Price Forecast: MATIC sees end of corrective trend
Despite Wednesday's market decline, Polygon's price forecast shows a rise of more than 2% to $0.55. This bullish momentum, which has been sustained in recent weeks, is now challenging the multi-month resistance of the descending wedge pattern. On the back of the recovery trend, the launch of Plonky3 Polygon could lead to increased demand for MATIC as a native token. But is it enough to avoid a 4-month correction?
Polygon price forecast: will Plonky3 improve MATIC's market performance?
Over the past four months, Polygon's price has shown a steady downtrend under the influence of a descending wedge pattern. Two converging trend lines as dynamic resistance and support have fallen, the asset price fell from $1.29 to $0.42, recording a loss of 66.8%.
However, MATIC price started an immediate reversal to $ 0.55 as recovery sentiment resumed in the market in July. The V-shaped recovery recorded a gain of nearly 30%, while Polygon's market capitalization jumped to $5.5 billion.
The bearish crossover between the daily EMAs (50, 100 and 200) indicates that the path to the lowest resistance is still down. However, the rising price recently retraced the 20-day EMA as the first sign of a recovery attempt.
Amid the bullish market sentiment, Polygon Labs announced the launch of Polygon Plonky3, an advanced zero-disclosure (ZK) verification system now ready for production. This new system, based on its predecessor Plonky2, is modular and customizable, allowing for the creation of custom ZKVMs or ZKEVMs for specific applications.
