This indicator says Matic price correction has not taken place
Matic price is currently undergoing a correction. In the last 24 hours, the coin has lost more than 4% of its market capitalization. The signals on the chart currently suggest that MATIC is going to stay in the correction zone for some time.
All the gains made by Polygon (MATIC) last week were undone by losses on the daily chart. The technical outlook also implied that the price action for altcoins was regressive and the demand for altcoins declined over the past few days.
From reading the daily chart, it is difficult to make out where the price of MATIC will find support. The altcoin is showing signs of significant resistance on both the shorter and longer time frames. A bullish reversal seems less likely as buyers have lost faith in the asset.
The past few months have been quite rough for MATIC as the coin continued to decline despite briefly reserving the $1.31 price mark in the last month. Currently, MATIC is trading 69% lower than its all-time high recorded almost a year ago. Now it is imperative for MATIC to break the $0.96 level to register some positive price movement.
Matic Price Analysis: Intraday Chart
The coin has broken its lower band of consolidation and is on a downward spiral. The coin’s overhead resistance was at $0.94. A move above $0.94 will secure the altcoin a move to $1 or even higher.
Since MATIC has broken to the downside of the consolidation, further depreciation could follow. In that case, the altcoin will drop to $0.84 and then below the $0.80 price level. The volume of altcoins traded fell in the previous session and turned in the red, indicating that the bears are taking a tough reign. At press time the altcoin was exchanging hands at $0.88.
technical analysis
The coin has formed an ascending support line. Usually, this is a bullish signal; However, in this case, MATIC is moving closer to the line. This indicates that the coin will break below the $0.88 line and drop closer to $0.84, which is a 4% depreciation.
The Relative Strength Index (RSI) was below the halfway line, which means sellers have taken hold of the price. Regarding the sellers, the altcoin price declined below the 20-simple moving average (SMA) line. Falling below indicates bearishness, as sellers were increasing the price momentum in the market.
There was a decline in investor interest on the daily chart as well. Chaikin Money Flow represents capital inflows and outflows at a given point in time. The CMF depicted a decline, meaning a decline in capital inflows, although at press time capital inflows still exceeded capital outflows.
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The Directional Movement Index (DMI) indicates price direction. The DMI was negative because the -DI line (orange) was above the +DI (blue) line. The Average Directional Index (red) was below the 20-mark, which meant that the coin’s price momentum had lost all strength. This is in line with a further drop in the value of the Matic.
source: newsbtc.com