SNEAK PEEK
- Over 52,410 addresses acquired 4.81 billion MATIC tokens at between $0.9 and $1, forming a strong support zone for the token.
- For the MATIC token to break out of its current price range and reach new highs, it must tackle the resistance between $1.14 and $1.30 held by 48,760 addresses controlling 1.66 billion MATIC tokens.
- The current market sentiment suggests that MATIC is trading on a downtrend pattern, as bears persist in taking control of the Polygon market.
Polygon’s MATIC token is exhibiting promising signs of a potential upswing as it establishes a solid support zone between the $0.9 – $1 range. This support zone has been created by over 52,410 addresses that have accumulated 4.81 billion MATIC tokens, which could prevent further price drops in the cryptocurrency.
However, MATIC’s growth may face a roadblock as it approaches the resistance level of $1.14 – $1.30. This level is being held by 48,760 other addresses, which possess approximately 1.66 billion MATIC tokens. Breaking through this resistance level would be crucial for Polygon’s MATIC to experience significant growth and establish a new bullish trend.
According to a tweet from Whale Alert on 10th April, a whale transferred 40 million of Polygon’s MATIC tokens worth approximately 43.7 million US dollars from Polygon Staking to Binance. This move must have contributed to the selling pressure on the token amidst a bearish market sentiment. The transfer of such a significant amount of tokens may have caused an oversupply of MATIC in the market, leading to downward pressure on the token’s value.
Polygon Price Analysis
The latest Polygon price analysis shows a bearish sentiment prevailing in MATIC’s market as the coin is trading on a downtrend in the past few days. MATIC opened its trading session with bulls at lead driving the price up to a high intraday of $1.13 which is acting as the present resistance level but as the session progressed, bears took control and pushed to lows of $1.09.
The current support level is seen at $1.09, while the resistance is at $1.13 whereby MATIC needs to break out of this range and trade on an uptrend pattern. If bulls try to push MATIC’s value above the current resistance level, it will have a better chance of establishing a new uptrend. However, the bears are firmly holding MATIC’s market and a break at $1.09 could cause the coin to fall further and dip below its support level.
On the Daily chart Polygon price analysis reveals that bears are currently in control as the MACD shows a bearish crossover incoming and the Stochastic RSI is sloping to the bearish territory. The Relative Strength Index (RSI) is currently at 45.74 which means that there is still room for additional downward momentum before Polygon reaches its oversold level therefore buyers need to overpower the bears to counter the move.
The Moving Average Convergence Divergence (MACD) indicator is slowly turning to a negative outlook as the histogram is taking a bearish plunge. The MACD line is almost moving below the signal line indicating that bears are in control of the current trend and bulls need to step in and take back control in order for MATIC to experience a price surge. On the moving average (MA) indicator, the red candlesticks are still in control of the market.
To sum up, Polygon’s MATIC token is trading in a tight range between $0.9 – $1.30 at present due to strong support from buyers and resistance from sellers. The current market sentiment suggests that MATIC is on a downtrend pattern as bears persist in taking control of the market. However, breaking through the resistance level may be key for MATIC to experience significant growth and establish a new bullish trend.
Disclaimer: Cryptocurrency price is highly speculative and volatile, and should not be considered financial advice. Past and current performance is not indicative of future results. Always do your own research and consult with a financial advisor before making investment decisions.
