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MATIC Price Forecast: Polygon to plunge below $1

  • MATIC price is stuck in consolidation. 
  • The 55-day moving average places a cap on Polygon. 
  • If Bitcoin or other majors will dip, MATIC will follow the trend.

MATIC price has had a difficult four weeks, but the actual support is to be found below $1.

MATIC price needs to dip below $1 to attract buyers 

MATIC price has had a problematic four weeks with only red numbers to account for. Polygon began the week with a sharp consolidation with lower highs and higher lows.

The 55-day Simple Moving Average (SMA) has placed a cap on MATIC price going higher weekly, as the $1.40 level got tested and rejected. 

Where Polygon is now, there is no reason for buyers to step in as there is no supportive level, no moving average or anything else nearby to support it.

MATIC price has the supportive trendline that kept it up last week and pushed it back above $1. As seen on the weekly chart below, it has been tested multiple times, and the recent negative series of weekly lower closes looks like the trendline is ready to break for the downside.

If this were to happen, MATIC price could dip below $1.

MATIC/USD weekly chart

MATIC/USD weekly chart

Polygon still has some room left to play with, but buyers will not step in at these levels. Expect support around the ascending trendline but that puts MATIC price slightly below $1.

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FXStreet Team

Composed of a group of economic journalists and FX experts, the FXStreet content team produces and oversees all content published on FXStreet. It provides a purely journalistic approach to the Forex market.

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