Polygon Price Analysis: V-top Reversal may Direct MATIC to $0.31 Support
Polygon (MATIC) price is losing for the sixth consecutive day, depreciating nearly 28%. The V-top reversal initiated from the $0.63 mark tends to breach immediate support of $0.45. Thus, the sustained selling should encourage a revisit to June low support of $0.312.
Key points
- A Falling wedge pattern influences the MATIC price action
- The coin buyers lost the 20-day EMA support.
- The intraday trading volume in MATIC is $846.2 Million, indicating a 3% loss.
Source- Tradingview
The MATIC/USDT pair showcases a sharp downfall over the past few months, resulting in an 89% fall within a falling wedge pattern. Moreover, The declining price action showcases constant rejections from the 20 (yellow) or 50-day (red) EMA.
The recent bearish retracement comes after the failed rounding bottom pattern due to increased selling pressure close to the 50-day EMA. Furthermore, the declining trend cracks under the 20-day EMA, and $0.50 takes support at the $0.45 mark.
However, the falling trend with increased selling pressure warns of an MATIC price drop to $0.3194, accounting for a deflation of 29%.
In the unlikely event of a bullish survival, the MATIC prices sustaining above $0.45, traders can expect a reversal to the psychological mark of $0.50.
The wedge pattern is a bullish reversal pattern that should eventually trigger a trendline breakout for a potential recovery rally.
Technical Indicators
DMI Indicator: increasing selling pressure influences a bearish crossover in the DI lines reclaiming a negative alignment. Moreover, the falling trend in the ADX line shows a slightly sideways trend showcasing a bearish attempt to regain trend momentum.
Bollinger Band indicator: Along with $0.45 support, the recent downfall pokes the indicator’s midline, providing an extra edge to market sellers. Moreover, the MATIC price trading neutral line accentuates a negative bias among trades.
- Resistance levels- $0.58 and $0.63
- Support levels- $0.45 and $0.32
Instant Currency Exchange at BestChange with Ease
- Compare Rates Across 1000+ Exchanges
- Access 250+ Cryptocurrencies & Pairs
- Save Time with Real-Time Price Tracking
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
