- Ali Martinez believes that MATIC’s most important metric offers a great opportunity for buyers.
- The market for tokens is still filled with bearish feelings.
Polygon native tokens’ Market Value to Actual Value (MVRV). MATIC The crypto analyst Ali Martinez pointed out that Bitcoin has been flashing a Buy signal. post on X (formerly Twitter).
Analysts claim that the ratio of MVRV to tokens assessed using different moving averages has negative values. According to Per, Santiment’s Data shows that MATIC MVRV’s ratios for 30-day and 360-day moving-averages are -10.1% and 11.99% respectively at the moment of writing.
MVRV measures the difference between the asset’s market value and the average cost of each coin or token that was acquired.
If the MVRV is positive, it indicates an overvaluation. This ratio indicates that an asset’s current value is higher than what most investors paid for it.
In the opposite case, a MVRV that is negative indicates an undervaluation of the asset. This value indicates that the current market price for the asset is lower than the total average of its tokens in circulation.
As Martinez noted, MATIC’s negative MVRV ratios present a “perfect time to buy.” It is due to the fact that MATIC’s current price represents a significant discount compared with its historic cost.
MATIC bulls on the rise?
A 1-day MATIC chart revealed a gradual shift from a bearish market to a bullish one.
The Parabolic SAR Indicator of the Token showed that its dots were below the current price. The indicator can be used to determine the direction of a trend and its reversal.
If its dotted-line is below the price of an asset, it’s said that market has an upward trend. This indicates the price of an asset is on the rise and will likely continue.
For the first time in MATIC history, since March 15, MATIC’s MACD (blue line) is now above MATIC signal (orange line). These lines indicate that the asset’s longer-term trend is higher than its shorter-term trend.
Market participants use it to exit their short positions and enter into long ones.
Click Here to Read Polygon’s [MATIC] Price Prediction 2024-2025
Bearish sentiments are still significant, even though buying may be returning to the MATIC Market. As an example, the negative directional indicator (red) is still above the positive index (green).
The selling momentum is high, which suggests that MATIC’s bears are more powerful than its bulls.
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Source: ambcrypto.com