[Can Polygon (MATIC) bounce back from top 20 loss? 】
Markets were generally bearish today, with Bitcoin, the largest cryptocurrency, falling to a two-month low of $57,800. Major altcoins also experienced significant losses: Ethereum fell 4%, Solana fell 9%, and Polkadot fell 7%. However, Polygon (MATIC) lost its position among the top 20 cryptocurrencies and is now ranked 21st, replaced by Litecoin.
Polygon has been underperforming recently. MATIC fell to a nine-month low of $0.5058 a few hours ago, with the price down 7%. Instead, its trading volume surged 136% in the past 24 hours. It is now down 82% from its all-time high reached three years ago. MATIC is down 26% in the past month.
Notably, MATIC reached $0.5148 sixteen days ago, while bulls made a significant recovery yesterday, trading at $0.5740. However, they struggled to maintain this momentum amid bearish market sentiment. The daily RSI is 35, indicating that MATIC is facing selling pressure and its supply on exchanges is increasing.
Meanwhile, analysts suggest that investors can expect a bullish reversal as MATIC has formed a falling wedge pattern on the daily chart. If the expected bull market breaks out in the coming weeks, prices are expected to rise 70%-80% from current prices.
MATIC’s daily chart confirms the bearish trend, with the 9-day EMA at $0.5501. Analyzing MATIC’s trajectory, the price is currently trading below the key support at $0.5314, with bears pushing it down to $0.5006.
For MATIC bulls, maintaining momentum is crucial. The next significant milestone is at $0.6292, and if an uptrend occurs, $0.6692 is also in sight.
