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Investors are disappointed in Polygon Networks' MATIC price for these reasons

  • MATIC price is printing consecutive bearish engulfing candles.
  • Polygon price is retesting a zone for the fourth time since May 12th.
  • Invalidation of the downtrend is a breach at $0.65.

MATIC price hints at further drops in the coming days as the Polygon Network is in a make-or-break phase.

MATIC price could continue falling

MATIC price is steadily falling to start this week's trading session. The self-proclaimed Ethereum transaction solution coin gained notoriety in early 2021 for its cheap and fast transaction fees. Now ironically, the price action displays a slow and disappointing decline. 

MATIC price currently trades at $0.61. Since the week began, the bears have been in control as the price has fallen back into the $0.60 zone for the fourth time since May 12th. Usually, the fourth touch of any critical level is a catalyst before a big move occurs. If market conditions persist, a bearish engulfing candle in this zone could give confidence for bears to aim for $0.55 and potentially sweep the lows at $0.50. 

tm.matic/5/24/22

MATIC/USDT 3-Hour Chart

Still, an invalidation level for the bearish thesis is necessary as the bulls can use this vital moment to reconquer the trend. A safe confirmation for an uptrend will be a breach above $0.65. If the bulls can manage to close above $0.65, they could induce a countertrend rally into $0.85, resulting in a 35% increase from the current MATIC price.

Author

Tony M.

Tony M.

FXStreet Contributor

Tony Montpeirous began investing in cryptocurrencies in 2017. His trading style incorporates Elliot Wave, Auction Market Theory, Fibonacci and price action as the cornerstone of his technical analysis.

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