Polygon Price Analysis
The daily price chart of Polygon (MATIC) illustrates a reverse V-shaped drop from $0.89, indicating strong selling pressure and predicting significant declines in a short span.
The MATIC price has recently hit the support level of $0.64, experiencing a 27% drop over the past month due to this intensified selling pressure. The question now arises: will this popular altcoin’s price continue to decline?
MATIC Price Downtrend and Support
The MATIC price, currently in a downtrend, has found support at $0.6475, aligning with the 61.8% Fibonacci correction level. This correction suggests a degree of weakness in the bullish momentum, urging investors to exercise caution.
Despite a recovery from the $0.647 support on August 7th, MATIC struggled to break past the overarching resistance level at $0.7. The inability to breach this barrier over the last four days signals an accumulation of sellers at this particular level.
The failure to surpass the $0.7 resistance implies an impending continuation of the downward movement. As a result, a revisit to the $0.647 support level is anticipated. If MATIC’s price closes below this support level on a daily timeframe, sellers are likely to extend the correction by an additional 7.5%, testing the psychological support at $0.6.
Possible Price Scenario: MATIC at $0.6
While the MATIC price exhibits stability around the $0.647 support, indicating active buyer accumulation at discounted rates, vigilant monitoring of this support level remains crucial. There is potential for a price rebound from this point, potentially signaling a return to an upward trajectory. Additionally, if the $0.7 resistance is breached, a rally towards the $0.8 resistance might unfold.
The lower band’s upward movement on the Bollinger Bands indicator in Polygon’s price chart provides supplementary support for the $0.647 level. Conversely, the downward transition between the VI+ (blue) and VI- (orange) slopes on the Vortex Indicator underscores a potent bearish momentum, highlighting the need for careful consideration.