Polygon Reaches An Oversold Region And Can Hold Above $1.00

Feb 28, 2023 at 11:34 // Price
Coin Idol
Although Polygon is bearish, the bears have run their course

Polygon (MATIC) price is falling as it breaks below the 21-day line SMA.

Polygon price long-term forecast: bearish

The current uptrend is over as it was rejected at the high of $1.54. Similarly, bearish exhaustion has been reached by selling pressure. The market has dipped into oversold territory on the shorter term horizon. Moreover, the Polygon between the moving average lines has declined. The altcoin may resume its movement between the moving average lines when the selling pressure subsides. If the cryptocurrency's price breaks the 50-day line SMA, it could fall as low as $0.90. On the other hand, if the price rises above the 21-day line SMA, MATIC will resume its uptrend. The altcoin will rise and recapture the previous high of $1.54. 

Polygon indicator analysis

At the 45 level of the Relative Strength Index for the period 14, the altcoin has dipped into the bearish trend zone. The fact that the altcoin is between the moving average lines suggests that a movement within a trading range could take place. The MATIC is now below the daily stochastic value of 20, indicating that the market is oversold in this area.

MATICUSD(Daily Chart) - Februry 28.23.jpg

Technical indicators

Resistance levels: $1.20, $1.30, $1.40

Support levels: $1.00, $0.90, $0.80

What is the next move for Polygon?

Although Polygon is bearish, the bears have run their course. Where the moving average lines are intact, the cryptocurrency value is likely to trade between them. In other words, the MATIC price will trade between $1.10 and $1.30. When these levels are broken, the altcoin will rise or fall.

MATICUSD(4 Hour Chart) - February 28.23.jpg

Disclaimer. This analysis and forecast are the personal opinions of the author and are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by CoinIdol. Readers should do their own research before investing in funds.

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