Polygon Bear Cycle Warns $MATIC Price Drop To $0.38! - CoinPedia Analytics

Following the bullish breakout of a falling channel pattern, the MATIC price failed to surpass the $0.60 peak. Last week, the altcoin’s price jumped 27.43%, resulting in a massive bullish engulfing candle in the one-week chart. However, the increased market volatility led to a quick downfall in Polygon. The growing bearish momentum quickly undermines last week’s recovery run and accounts for an 18.86% drop this week. Furthermore, the MATIC price lost dominance over the $0.50 psychological mark, and the crypto price today is at $0.4256. In the daily chart, the MATIC price action reveals a series of five bearish consecutive candles, testing the broken resistance trendline. 

With the bearish continuation, the MATIC price could slip back into the falling channel pattern and put $0.38 at risk. A bearish breakdown could result in an extended fall to the support trendline near $0.3470. However, on a bullish front, a double-bottom reversal from the $0.38 support level is a potential hope for buyers. As it remains a crucial demand zone known for reverting the MATIC price, the bullish divergence in RSI will be a positive indicator.