Polygon (MATIC) has began to stabilise after a sequence of bearish streaks over the previous couple of weeks. The coin has additionally fallen sharply from its 2022 highs and is now buying and selling properly beneath its three-month development line resistance. Listed below are another info:
The present set-up is closely beneficial for short-sellers since MATIC has very restricted upside
The coin will possible fall beneath $0.5 regardless that it consolidated above this course of
MATIC will ultimately backside at $0.4 or thereabout
Knowledge Supply: TradingView
MATIC: The Brief promoting play
After intervals of bearish sentiment round MATIC, the coin managed to determine a consolidation interval after overcoming the $0.5 resistance. There have been some hopes that this consolidation might set off a decisive bullish break. Nevertheless, because the broader crypto market slows, it doesn’t seem to be there’s sufficient momentum to push MATIC additional.
As an alternative, the coin will possible expertise some sharp fall. We count on the alt to initially lose the $0.5 assist earlier than the beginning of buying and selling subsequent week. As soon as this occurs, there might be additional draw back. MATIC will in all probability backside at $0.4 earlier than the bears ease a bit. This may signify a fall of round 35% from the present worth.
So, with this set-up, there isn’t a doubt short-sellers might have a area day. Probably the most ideally suited entry worth for a brief commerce might be $0.6. Nevertheless, you may nonetheless enter after MATIC loses The $0.5 and trip the downward wave in the direction of $0.4.
The place does MATIC go from right here?
The weak point that we have now seen in MATIC over the previous couple of weeks was anticipated. However this has acquired nothing to do with the venture and its future. It’s merely a mirrored image of total sentiment available in the market.
We don’t assume there’s any signal that sentiment is about to enhance. As such, MATIC will possible stay suppressed beneath $0.5 for at the very least one other month.