Thu, March 28

Polygon (MATIC) Price Breaches Strong Support, Could Retest $1

Circle Announces Support For Polygon USDC on Its Payment Platform Altcoin News
  • Polygon is down 9.26% in the last 24 hours.
  • The reversal had a pessimistic outlook on Polygon.

A vital support region for MATIC has been turned into a resistance barrier by the price action. There is a possibility that market makers may try to push Polygon lower to get liquidity.

A 25 percent reduction in MATIC’s price has occurred during the last three days, and it is expected to continue its downward trend. The recent fall below the 200-day Simple Moving Average (SMA) at $1.62 after lingering above it for more than a year may be the fundamental cause for this bearishness. Thus, this reversal has a pessimistic outlook on Polygon.

MATIC/USDT: Source: TradingView

Despite Polygon’s best efforts to break over this level, the coin has lost 9.26 percent today. The daily support levels of $1.44 and $1.22 for MATIC, on the other hand, might cut short the slump, unlike other altcoins.

Worst Case Scenario- Below $1

Although this perspective may seem somewhat optimistic, it is dubious since market makers might lower MATIC price to hit the weekly support level of $1.03 to collect the sell-stop liquidity that is now lying below it. The worst-case scenario is a 30 percent drop to $1 or below, so market players should be prepared for this.

IntoTheBlock’s Global In/Out of the Money (GIOM) model supports this pessimistic prognosis for MATIC pricing. With 67,320 addresses purchasing almost 362 million MATIC tokens at $1.22 and $0.99, this on-chain indicator reveals Polygon’s support levels to be steady beyond $1.44.

According to CoinMarketCap, the Polygon price today is $1.46 USD with a 24-hour trading volume of $1,360,235,718 USD. Polygon is down 9.26% in the last 24 hours.

A diploma graduate who is passionate about digital currency and loves writing. He loves the concept of crypto and keeps himself up to date with the latest development and news of the crypto world.