Why is Polygon (MATIC) price up today?

Polygon (MATIC) terms is up today, mirroring upside moves elsewhere successful the cryptocurrency marketplace arsenic traders measure a premix of cardinal factors.

On July 11, the MATIC terms roseate 2.32% to $0.75, its highest level successful a period — outperforming the crypto market, whose valuation stayed comparatively unchanged from the erstwhile time astatine astir $1.14 trillion.

MATIC/USD regular terms illustration versus crypto marketplace capitalization. Source: TradingView

New CEO, Polygon's 'decentralized governance' plans

MATIC's intraday gains travel arsenic a portion of a broader terms leap that started aft Polygon appointed its erstwhile main ineligible office, Marc Boiron, arsenic the caller main enforcement serviceman (CEO) connected July 7. Since then, MATIC/USD has gained astir 15%.  

MATIC/USD four-hour terms chart. Source: TradingView

Boiron's assignment comes much than a period aft the U.S. Securities and Exchange Commission (SEC) argued that MATIC is simply a "security" successful its lawsuits against Binance and Coinbase.

Meanwhile, the terms gains besides look arsenic Polygon prepares to instrumentality a series of web upgrades arsenic a portion of its "Polygon 2.0" overhaul. Namely, the constitution of a "decentralized governance" protocol by July 17.

MATIC whales get bigger

MATIC's terms rally connected July 11 succeeds a play of beardown whale accumulation.

For instance, the proviso of MATIC held by entities with equilibrium betwixt 10 cardinal and 100 cardinal tokens has accrued by much than 1% successful July truthful far.

Whale proviso distribution. Source: Santiment

That coincides with a driblet successful the proviso held by the 1 million-10 cardinal MATIC cohort. In different words, immoderate whales from the 1 million-10 cardinal MATIC cohort accumulated tokens successful July and became portion of the 10 million-100 cardinal MATIC cohort.

MATIC's July outlook

From a method perspective, MATIC looks prepared to acquisition crisp terms declines successful July.

As of July 11, the Polygon token was investigating a absorption confluence comprising its 50-day exponential moving mean (50-day EMA; the reddish wave), a support-turned-resistance horizontal trendline, and an ascending trendline constituting a potential bear emblem pattern.

MATIC/USD regular terms chart. Source: TradingView

A pullback from the absorption confluence risks sending the terms toward the flag's little trendline adjacent $0.68 successful July, down astir 10% from existent terms levels.

Related: Polygon 2.0 introduces upgrades to pat into ‘Value Layer’ of internet

Moreover, a adjacent beneath the little trendline volition summation the imaginable of triggering a carnivore emblem breakdown scenario. This means a downside people of astir $0.50 successful July, down astir 30% from existent terms levels.

On the different hand, a decisive adjacent supra the flag's precocious trendline could weaken MATIC's bearish prospects, enabling an extended run-up toward the 200-day EMA (the bluish wave) adjacent $0.90. In different words, a 20% rally by July.

Collect this nonfiction arsenic an NFT to sphere this infinitesimal successful past and amusement your enactment for autarkic journalism successful the crypto space.

This nonfiction does not incorporate concern proposal oregon recommendations. Every concern and trading determination involves risk, and readers should behaviour their ain probe erstwhile making a decision.