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The Polygon (MATIC) price has suffered crash after crash in recent months, causing it to fall to levels not seen since June 2022. This price crash has led to an 86.27% decline from the all-time high price of $2.92 recorded in 2021. However, positive sentiment is slowly starting to emerge among Polygon investors who have struggled with losses for most of the year, especially as a crypto analyst has predicted a rebound for the altcoin.
Polygon headed for a revival
Crypto analyst CobraVanguard has done that pointed out a bullish formation on the Polygon (MATIC) chart that could send the price flying from here. This formation, known as the Ascending Triangle pattern, has appeared at a time when investors seem to have given up hope on the altcoin.
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According to the chart shared on TradingView, the ascending triangle started in the month of August. The formation was first picked up mainly when the price crashed along with the crypto market towards the end of the bearish month of August. This formation continued into September, when prices began to recover again.
Not only has a bullish Ascending Triangle formed on the Polygon chart, the crypto analyst also points out that this is taking place within a Broadening Wedge pattern. This is important because a Broadening Wedge pattern is equally bullish for the price of the altcoin. When Polygon price starts to recover within the Broadening Wedge, it is obviously expected to reach all the way to the top of the pattern.
The first target for this bullish recovery is $0.4671, which is up about 15% from here. The next target is $0.5442. Finally, as Polygon price moves to fully fill the Broadening Wedge, the crypto analyst expects the price to reach $0.6821.
A breakout from this point would undoubtedly be a welcome development for Polygon investors, 95% of whom are currently at a loss. According to facts of IntoTheBlock, only 3% of wallets holding MATIC tokens are making a profit, while 2% are breaking even. This makes it one of the worst altcoins in terms of profitability so far this year.
MATIC becomes POL
Earlier this month, on September 4, the Polygon network team performed a successful migration converting MATIC tokens to POL. POL is said to be a “hyperproductive token” expected to propel the Polygon network forward.
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Despite the expectations that followed the migrationthe POL token (formerly MATIC) has failed to move in a positive manner. The price has only increased about 5% from the price of $0.38 at the time of the migration, showing that the migration had little effect on the price.
However, expectations for the altcoin remain high as investors expect that the fact that the POL token is now an altcoin with a brand new chart and without much price history will be one of the things that will fuel its recovery.
Featured image created with Dall.E, chart from Tradingview.com