Polygon (MATIC) Price Plunges and Its Vulnerable For Bigger Decline

Key Takeaways:

• MATIC price is struggling to stay above crucial support at $0.535.
• A major bearish trend line with resistance near $0.585 on the daily chart is forming.
• The price could decline heavily if there is a close below $0.535 and $0.510.

NEW DELHI (CoinChapter.com) — Polygon’s MATIC is struggling below $0.60. The bulls must protect a close below $0.510 to avoid more downsides in the near term.

MATIC Price (Polygon) Signals Downtrend

MATIC’s price steadily declined from the $0.88 resistance against the US dollar in the past few weeks. The price traded below the $0.70 and $0.65 support levels.

The bulls remained active near the $0.535 support zone. Recently, the price started a recovery wave like Bitcoin and Ethereum. There was a move above the $0.60 resistance. The price climbed above the 50% Fib retracement level of the downward move from the $0.7024 swing high to the $0.527 low.

However, the bears took a stand near the $0.635 level. Besides, a major bearish trend line is forming with resistance near $0.585 on the daily chart.

MATIC trades below the $0.580 and 50-day simple moving average (blue). The bulls seem to struggle to keep the price above the $0.535 and $0.525 levels. A downside break and daily close below $0.525 could spark bearish moves.

The next major support is at $0.510. The price could accelerate lower if the bulls fail to protect the $0.510 support. In the stated case, there is a risk of a drop toward the $0.450 support, below which the bears might target $0.42.

Another Increase?

Conversely, MATIC price could stay above $0.510 and start a fresh increase. Initial resistance is near the trend line and $0.580. The next major resistance is near $0.635 or the 61.8% Fib retracement level of the downward move from the $0.7024 swing high to the $0.527 low.

If the bulls push the price above the $0.635 resistance zone, there could be a drift toward the $0.660 resistance and the 50-day simple moving average (blue). In the stated case, MATIC’s price could rise to $0.70.

Overall, MATIC price is trading near crucial support at $0.535 and $0.510. A close below the $0.510 support might increase selling pressure in the coming sessions. Conversely, the price could start a fresh increase toward $0.660.