MATIC short-term outlook forecast vs. BTC and ETH
Analyst Benjamin Cowen is looking into the future prospects of the Ethereum Polygon scaling solution, with MATIC’s own token showing an upward trend in recent months.
At one of his strategy meetings, Cowan is now comparing the Layer 2 protocol to the two leading cryptocurrencies, Bitcoin and ETH, and assessing how the altcoin could grow in the future.
Cowen noted that while MATIC has been performing well against the US dollar lately, growth against BTC should also be noted.
“To truly achieve a sustained breakout, Bitcoin needs to move back beyond the support band of the bull market. This would be the best scenario for MATIC.
Bitcoin is currently still below that level and MATIC is still rising, so why not move above it?
But for better market conditions, Bitcoin should hit the $ 53,000 mark again. This means that the MATIC is in an optimal position. ”
Source: Benjamin Cowen
At the time of writing, Bitcoin is trading at $ 48,110.
With regard to the MATIC / ETH trading pair, Cowen believes that this is the ultimate indicator of the strength of the altcoin.
“As we all know, the real test is what he does against ETH? Is it discounted? Not really.
There is a very good trend here. You can see that recently it has started to grow again …
It looks like it will support support at 0.00036916 ETH, or around $ 1.62. MATIC / ETH is again above the bull market support band and is also approaching the previous ATH.
To do this, with the ETH price unchanged, the pair must grow by another 61% or 62%. This will actually boost MATIC’s valuation above $ 3.50 or more.
Source: Benjamin Cowen
ETH is currently down 6% to $ 4086 in the past 24 hours.
At the end of the video analysis, Cowan concludes that he likes MATIC’s overall perspective.
“I think this is a good project and will likely continue the uptrend throughout the cycle and possibly increase the current market cap.”
However, any abandonment of Bitcoin would be bad news for altcoins in general.
“It looks like it is breaking out against Bitcoin and ETH after holding support for a while.
As with all altcoins, the main risk of reverse development is that Bitcoin will be rejected if someone tries to break the support band of a bull market.
If this happens and BTC continues to fall, the chances are high that most altcoins will fall against the US dollar, bitcoins and even ETH. ”
MATIC is currently trading at $ 2.10 at time of publication, representing a decline of nearly 9% on the day and 2% on the week after hitting a weekly low of $ 1.57 in December.