đ„đ„đ„ #Polygon ($MATIC ) Price Drops to 2-Year Low
Polygon Hits 24-Month Low Amid Declining Market Activity
Price Breakdown and Current Status
- After consolidating between April 14 and June 7, Polygon (MATIC) broke below the lower boundary of its horizontal channel and has since experienced a 33% decline. As of now, MATIC is trading at $0.44, a level not seen since July 2022.
On-Chain Analysis and #marketsentiment
- An analysis of MATICâs on-chain data reveals a sharp decline in demand for the token. The Price-Daily Active Address (DAA) Divergence, which compares the assetâs price movements to changes in its daily active addresses, currently shows a negative value of -35.59%. This indicates a significant drop in daily active addresses, signaling a #BEARISHđ outlook for the token. This metric was last positive on October 24, 2023.
- Relative Strength Index (RSI) and Market Conditions
MATICâs Relative Strength Index (RSI) stands at 21.17, suggesting the asset is oversold and could be due for a rebound. The RSI ranges from 0 to 100, with values below 30 indicating oversold conditions. Despite this, the prevailing bearish sentiment could limit any potential price recovery.
Price Prediction and Market Outlook
- The continued bearish trend is supported by the Elder-Ray Index, which has been negative since the price decline began on June 7. This indicator measures the balance of power between buyers and sellers, and a negative value of -0.15 indicates bearish dominance.
- If the bearish trend persists, MATICâs price could potentially drop to $0.42. Conversely, if buying pressure increases and traders capitalize on the dip, the price might recover to around $0.49.
Source - beincrypto.com
