- MATIC price shows an increase in bearish volume.
- Polygon price shows a classical shooting star pattern on the 3-Day chart.
- Invalidation of the bearish decline is a breach above $0.60.
Polygon’s MATIC price signals bears have re-entered the market. If the profit-taking continues, a cataclysmic fall could occur to breach the $0.31 lows.
MATIC Price shows early bulls are in trouble
Polygon's MATIC price could justify the old traders saying that "early buys quickly die" as the price threatens a breach into the mid $0.40 barrier. Since the middle of June, MATIC has been a crypto outperformer, rallying 100% in just one week. A Fibonacci retracement tool surrounding the June 18 swing low at $0.31, into June 23 high at $0.63, shows the bears have already lost 38% of profits since the impressive rally.
Polygon's MATIC price currently trades at the psychological $0.50 barrier. The bears show an increase in volume on the 3-day chart, which confounds the idea that MATIC price will soon fall into lower Fib targets, presumably the 61.8% Fibonacci level at $0.48. If the bulls do not show up to support the lower fib levels, the potential for an uptrend will be in jeopardy and provide confidence for a sweep the lows event to occur, targeting $0.31.
A classical shooting star pattern is, at the current time of writing, just 2-hours from printing on the 3-day chart. Its confirmation would reaffirm the idea that MATIC price will experience hard times shortly.
MATIC/USDT 3-Day Chart
Still, having an invalidation point will be vital as early market conditions are known to be increasingly volatile near psychological levels. Invalidation of the downtrend will be a breach above $0.60. If the bulls can re-hurdle this price point, they should have enough to stream to rally towards $0.91, resulting in a 90% increase from the current MATIC price.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.