MATIC Price Analysis: Polygon Price Losing Monthly Support Hints an Upcoming fall of 15%; Keep Holding?

MATIC Price Analysis: The MATIC coin has been in a correction phase for nearly three months, during which the price plunged from the top of $1.56 to the current price of $0.87, registering a total loss of 44.38%. Amid this downfall, the buyers lost crucial monthly support of $0.94, indicating the Polygon price is poised for further correction. Here are the important levels to watch if the market witnesses prolong selling pressure.
Key Points
- A downsloping trendline gives specific direction to the ongoing correction phase.
- A death crossover between the 50-and-200-day EMA could increase selling pressure in the market.
- The intraday trading volume in the MATIC is $431.5 Million, indicating a 1.8% loss.
Source-Tradingview
On May 8th, the MATIC price gave a decisive breakdown from the local support level of $0.94. This support level aligned with the 50% Fibonacci retracement level accentuates the significance of this chart level.
Usually, a correction to the 50% FIB is considered healthy for the overall uptrend, but a breakdown below it starts reflecting weakness in bullish momentum. By the press time, the Polygon coin trades at the $0.874 mark, and the 2.89% loss reflects the suitable follow-up for this breakdown.
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Anyhow, in the coming trading days, the MATIC price may retest the $0.94 support as potential resistance and check price sustainability below the breakdown points. This retest could offer a short-selling opportunity to traders which may tumble the prices 15% down to revisit the December 2022 bottom support of $0.75.
On a contrary note, a downsloping trendline is carrying this correction phase, and thus a breakout may signal the buyer’s attempt to regain trend control.
Technical Indicators
Exponential Moving Average: The falling 20-day EMA may offer additional dynamic resistance to lead the current retracement phase.
Relative strength index: The daily RSI slope plunged to the oversold region reflects a minor pullback that is likely to stabilize the ongoing downtrend.
MATIC Coin Price Intraday Levels
- Spot rate: $0.877
- Trend: Bearish
- Volatility: Low
- Resistance levels- $0.94 and $1.03Support levels- $0.75 and $0.7
The post MATIC Price Analysis: Polygon Price Losing Monthly Support Hints an Upcoming fall of 15%; Keep Holding? appeared first on CoinGape.
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Brian Bollinger
CoinGape