In the last couple of days, the overall cryptocurrency market has been struggling to gain momentum, possibly due to the unavailability of institutional investors or the ongoing Christmas holiday. However, amid this dull market, Polygon’s MATIC has experienced a significant price surge of over 20% in the last 24 hours, garnering attention.
MATIC Surpasses TRON in Market Capitalization
In a market where top cryptocurrencies like Bitcoin, Ethereum, Solana, Ripple, and others are struggling, MATIC not only experienced a substantial price surge but also surpassed TRON (TRX) in terms of market capitalization. Currently, the market capitalization of MATIC is around $10 billion, surpassing TRON’s $9 billion.
Over the last 5 to 6 days, it has become evident that the Polygon network experienced significant whale activity, potentially contributing to this massive price surge. Since December 2023, there has been an increase in wallet addresses holding MATIC between 1 million to 10 million, with a net addition of 55 million MATIC tokens valued at around $44.5 million, reaching a total of 930.97 million MATIC.
Technical analysis and pattern breakouts
In addition to whale activity, another reason for this substantial upside momentum is the recent breakout of a double bottom pattern and an inverted head and shoulders pattern on the 4-hour and weekly time frames. Furthermore, a symmetrical triangle pattern breakout on the weekly time frame has contributed to this move, a sentiment also echoed by popular crypto analyst Ali on X (formerly Twitter).
As of now, MATIC is trading near $1.05, having experienced a massive price surge of over 20% in the last 24 hours. According to expert technical analysis, it has confirmed a breakout of the inverted head and shoulders and double bottom patterns, with a closing above the resistance level, signaling bullish confirmation. The fact that MATIC is trading above the 200 EMA (Exponential Moving Average) further signifies bullish momentum. If this bullish momentum continues, we may see MATIC touch $1.5 with a 40% upside potential.
