Amid the recent correction trend in the crypto market, the Polygon price rally witnessed a notable downturn from the $1.28 resistance. This bearish reversal tumbled the coin’s market value by 18% to reach the current trading price of $1.06. Despite the continuous downward trend across the wider market, MATIC’s price is now positioned at a critical juncture of key support levels, presenting a pivotal moment for MATIC investors.

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Will $1 Support Prevent a Slide to Lower Levels?

Polygon Price| Tradingview

Over the past two months, the Polygon coin witnessed a steady recovery trend under the influence of the rising support trendline. This dynamic support has lifted the altcoin value by 86% as the price rebounded from $0.69 to a yearly high of $1.29.

However, amid the current correction trend in the market, the MATIC price reverted to $1.05 wavering above the aforementioned trendline and 38.2% Fibonacci retracement level.  Moreover, the renowned crypto trader @ali_charts points accentuates the range from $1.02 to $1.05 as a crucial support zone, backed by 10,900 addresses holding 608 million MATIC.

This data point underscores significant collective confidence in the value of Polygon at this price range, suggesting a potential stabilizing effect on market price dips.

#Polygon has found crucial support between $1.02 and $1.05, supported by 10,900 addresses holding around 608 million #MATIC. Should this support falter, the next essential demand zone lies near $0.91, where 35,700 addresses collectively hold 394.6 million $MATIC. pic.twitter.com/rLn4ymcQf7

— Ali (@ali_charts) March 16, 2024

The current positioning of the Polygon Price suggests a strong possibility for a bullish reversal that could energize buyers, potentially leading to a 25% increase. This surge would aim to test and possibly surpass the upper resistance of triangle pattern formation. This chart pattern has been leading a sideways trend for the past two years, and a breakout would signal a major trend shift in MATIC coin.

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How Will Polygon Price Navigate If $1 Support Breaks?

If the current market correction persists, the MATIC price may tease a breakdown below the support trendline at $1.02. If this support breaks, a secondary demand zone at $0.91 with 35,700 addresses holding 394.6 million MATIC could come into play, indicating strong holder confidence at these levels.

Consider a pessimistic scenario, the sellers may prolong the correction to the triangle’s lower support trendline at $0.6.

BB Indicator: An upswing in the lower boundary of the Bollinger Band indicator acts as an additional support level to maintain this recovery trend.
Moving Average Convergence Divergence: A bearish crossover state between MACD and the signal highlights no sign of reversal and therefore the risk-averse traders may wait for bullish candle formation before entry.

The post Will Polygon Price Soar to $1.3? Multiple Support Sets Stage for Fresh Recovery appeared first on CoinGape.

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Filed under: News - @ January 1, 1970 12:00 am