- Matic price shows bullish divergence on the 2-day chart.
- The volume pattern shows a significant difference in the last two declines.
- Invalidation of the current downtrend could be a breach above $0.72
MATIC price shows subtle signs that the downtrend could be coming to an end. Still, being an early buyer is not recommended.
MATIC price bulls need to retaliate
Polygon’s MATIC price trades on exchanges at $0.40 At the current time of writing. The bulls managed to produce a bullish engulfing candle with an increased spike in volume this week which could induce a rally towards $0.56. Still, the downtrend remains intact from a macro perspective.
MATIC price shows a divergence between the May 11th decline and the recent display of bearish fury during the 3rd week of June on the Relative Strength Index. The divergence accompanied by the overall decrease in volume warrants the idea that the downtrend is ending. However, being an early buyer is not advised because the bears could still trigger a decline to $0.25 after reaching the bullish targets mentioned above.
MATIC/USDT 2-Day Chart
The safest way to invalidate the bearish downtrend will be a breach above $0.72. If this occurs, a rally could ensue towards $0.80, followed by a three-wave pullback. Traders and investors could then partake in the next bull rally with confidence targeting the $.1.20 zone resulting in a 200% 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.