Polygon has been one of the worst-hit altcoins in this crypto winter. So far, it has fallen more than 70% from its all-time high and doesn’t seem very promising in price over the near future.
Despite the encouraging news about Polygon signing deals and agreements with top corporations and how it has become one of the most acquired tokens by ETH whales, the future price action of the cryptocurrency doesn’t seem so bright.
Over the last five days, Polygon has fared badly, experiencing a drop of more than 20% from its last high. Polygon currently trades at around $0.74 and appears to be consolidating around the 78.6 Fibonacci level.
So far, the 61.80 Fibonacci level around the $0.7185 mark has given Polygon much-needed support, serving as a line of defense for the bulls and against the bears. This price level has helped the price of Polygon with some upward momentum.
Polygon Price Analysis
According to the RSI, Polygon prices seem to be gathering bullish momentum and said momentum seems strong around the 78.6 Fibonacci level. This indicates that perhaps investors are getting in on the trend.
On the RSI, it is clear that the trend on Polygon might be rising. This change in trend may prove to be an important ingredient in where the price of Polygon might be headed next.
Coupled with price action, on-chain activity by the developers in charge of the network may be responsible for its price behavior. According to recent analyses, the development team might also improve and fix existing issues.
Overall, this may serve as an incentive for traders and investors alike. In general, the crypto market was recovering from the sell-off in mid-September before the FED rate hike that sent the entire crypto market into a mini dip.
However, the recent partnership between Polygon and Flipkart may be a catalyst for MATIC’s acceptance in the general crypto ecosystem and therefore serve as a means of expansion for the polygon network.
Safe to Buy Now
Matic, no doubt, has been making steady advancements in terms of network improvement and partnerships. These big moves by the network appear to be a confidence boost for investors on the network, explaining the bounce off the $0.74 level.
Over the last few days, as the price declined, most of the indicators on Polygon’s charts flashed buy signals. Some of them included the RSI, the bull-bear indicator, and the moving averages.
So far, the price of MATIC has bounced off the $0.71 level and appears to now be trending up.
If the bulls keep this show of strength up, the price of MATIC may continue to trend upward before finally hitting the $0.94 resistance and experiencing a very possible correction.
Disclaimer: The author’s comments and recommendations are solely for educational and informative purposes. They do not represent any financial or investment advice. Always DYOR (do your own research)