MATIC price is down over 15% and tested the $0.5150 support. #Polygon is slowly recovering, but the bears might be active near $0.5650 and $0.5720.
MATIC price started a fresh decline from the $0.6285 resistance zone against the #US dollar.
The price is trading below $0.570 and the 100-hour simple moving average.
There is a key bearish trend line forming with resistance at $0.5720 on the hourly chart of the MATIC/USD pair (data source from Kraken).
The pair could recover and test the $0.5720 resistance zone in the near term.
Polygon Price Takes Hit
After a decent increase, Polygon’s price faced heavy resistance near the $0.6285 zone. #MATIC formed a short-term top at $0.6286 and recently started a fresh decline like Bitcoin and #Ethereum.
There was a sharp move below the $0.600 and $0.5720 support levels. The price even dipped below $0.5250 and tested $0.5150. A low was formed at $0.5151 and the price is now attempting to recover. There was a move above the $0.5350 resistance level.
The price climbed above the 23.6% Fib retracement level of the downward move from the $0.6286 swing high to the $0.5151 low. MATIC is trading below $0.560 and the 100 simple moving average (4 hours).
Immediate resistance is near the $0.5550 zone. The first major resistance is near the $0.5720 level or the 50% Fib retracement level of the downward move from the $0.6286 swing high to the $0.5151 low. There is also a key bearish trend line forming with resistance at $0.5720 on the hourly chart of the MATIC/USD pair.
If there is an upside break above the $0.5720 resistance level, the price could continue to rise. The next major resistance is near $0.5850. A clear move above the $0.5850 resistance could start a steady increase. In the stated case, the price could even attempt a move toward the $0.6285 level or $0.650.
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Another Decline in MATIC?**
If MATIC’s price fails to rise above the $0.5720 resistance level, it could start another decline. Immediate support on the downside is near the $0.5320 level.
The main support is near the $0.5150 level. A downside break below the $0.5150 level could open the doors for a fresh decline toward $0.50. The next major support is near the $0.4850 level.
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Technical Indicators**
Hourly MACD – The MACD for MATIC/USD is #gaining momentum in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for MATIC/USD is now below the 30 level.
Major #Support Levels – $0.5320 and $0.5150.
Major Resistance Levels – $0.5600, $0.5720, and $0.5850.