Analysts: MATIC can jump 100% while Cardano goes up 40%
Graphic analysts are projecting valuations of almost 100% for and 40% for . If confirmed, forecasts will push cryptocurrency prices to $2.18 and $2, respectively.
The bullish estimates come at a time of high in the cryptocurrency market. This Monday (9), the currency is trading above US$ 45,000 and the altcoins are following the positive movement.
Polygon can pass Binance
On the possible rise in , analyst Akash Girimath highlighted four reasons why he is optimistic.
The first concerns the graphic pattern formed by the price and the second has to do with the total blocked value (TVL) in the protocol. The other reasons are: growth of active daily addresses and drop in the volume of tokens on exchanges.
As Girimath noted, the cryptoactive’s TVL is currently around US$4.45 billion. Although this number is not even close to the network’s (US$ 90.83 billion), it is higher than that of the network (US$ 1.47 billion).
In addition, the analyst stated that there was an 803% jump in the number of active daily addresses. On January 1st there were 487 and now there are 4,396. By way of comparison, in the same period, active addresses on Binance grew “only” 171%.
“If this trend continues, it is more than likely that Polygon’s TVL will increase and even surpass Binance’s during the next bull run,” said Girimath.
MATIC can jump 93%
On the other hand, the high price projection comes from the graphical analysis of the token. The analyst said the inverse head and shoulders pattern formed by MATIC suggests a 93% jump. Considering the current price of $1.13, the increase would raise MATIC to $2.18.
But for that, the digital asset needs to break the first resistance at $1.20 and then at $1.66 and $1.94.
Finally, Girimath commented that the reduction from 1.414 billion to 146 million in the number of tokens held on exchanges is also optimistic for the project.
“This 90% reduction indicates that investors are withdrawing their stakes from centralized entities. This reveals that they are confident of MATIC’s price performance in the near future.”
Cardano can jump 40%
On the market side, the forecasts are not so optimistic, but they are still encouraging. Analyst Crispus Nyaga is projecting a 40% jump for the ADA from its current $1.47 price.
Furthermore, he listed some recent developments involving the project that could help in an eventual rise.
Among other things, Nyaga mentioned that last week the project team confirmed that they are working on the Alonzo update, which will implement smart contracts functionality in the Cardano network.
Specifically on the ADA chart, the analyst said that it shows that cryptocurrency is in an uptrend. Like MATIC, Cardano’s price also formed an inverse head and shoulders pattern.
“Therefore, there is a possibility that the price will soon rebound and move above the neck line at $1,500. If that happens, the next key level to watch is the $2 resistance. This price is about 40% above the current level,” he detailed.
By Easy Crypt