Matic rolled back this month and remained in a downward range on the daily. However, it seemed to have found support following several drops over the past months. A crack below this support could facilitate more drops.
Following last month’s increase, which saw the price broke out of a seven-month resistance line to tested $0.6, the price rolled back and once again found support at the $0.5 level on Thursday – a break and retest pattern.
It reacted to this level yesterday and bounced briefly above $0.51. The price looks calm today due to a slight break in bearish momentum. An increase in supply could trigger a bearish continuation in the coming days.
But considering the latest choppy price actions, which indicates an exhaustion in selling for the past one month, the asset is likely to see another recovery from here if the bulls act upon the current weakness in price.
Even if all these bullish setups come into play, the price must increase well above $0.9 before we can start to consider bullish. More so, it is essential to pay attention to the potential double-bottom pattern, which is likely to form on the daily chart.
The price is still under the bears’ radar at the moment. On the weekly, Matic looks extremely bearish with roughly 65% loss in eight months.
Matic’s Key Levels To Watch
An increase from the current trading level could bring a quick recovery back to last week’s high, followed by a surge to the $0.64 and $0.7 resistance levels. The price may even reach the $0.78 level if buying pressure increases.
For a crackdown, the immediate level to keep in mind as support is $0.40. The potential level to watch next is $0.30 and potentially to $0.25.
Key Resistance Levels: $0.642, $0.70, $0.78
Key Support Levels: $0.50, $0.40, $0.30
- Spot Price: $0.518
- Trend: Bearish
- Volatility: Low
Disclosure: This is not trading or investment advice. Always do your research before buying any Metaverse crypto coins.