Is It a Good Time To Invest?

Polygon Community is likely one of the high gamers within the blockchain trade. Nonetheless, its native token MATIC has steadily declined in the previous couple of weeks. This comes as no shock as many different altcoins are additionally experiencing the identical downward motion as a consequence of destructive market sentiment.

However whereas the volatility of MATIC’s value can current worthwhile alternatives for merchants, it might additionally pose a danger for inexperienced traders.

Present Market Sentiment For MATIC

Up to now day and the earlier seven days, MATIC has fallen 6.9% and 20.3%, respectively. Based on an on-chain analytics platform, Santiment, tens of millions of MATIC tokens have been transferred between on-exchange addresses. 

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These giant whale transactions on the Polygon community could be fuelling the downtrend because it means that holders are promoting off their MATIC tokens. On the time of writing, MATIC’s value is $0.8675, characterizeing a 44.53% drop since February 18, 2023.

On the time of writing, the CFGI indicator additionally confirms the bearish sentiment across the MATIC value as its reveals 38, indicating Worry amongst traders. This implies that MATIC is in a part the place traders and merchants are afraid to carry the asset. This will likely end in extra dumps if the bulls stay stagnant.

In the meantime, MATIC’s 24-hour buying and selling quantity is down by 15.38% to $375 million. A drop in day by day buying and selling quantity reveals fewer actions are on the community. Nonetheless, MATIC nonetheless maintained its #9 place with its market cap of $8 billion on CoinMarketCap.

Polygon (MATIC) Value Evaluation

MATIC is buying and selling beneath each the 50-Day and 200-Day SMAs, indicating a bearish pattern within the quick and long run. Merchants could make the most of this present pattern to promote or keep away from MATIC till it recovers absolutely.

MATIC’s RSI studying of twenty-two.99 means that MATIC is at present within the oversold zone. This additionally implies that the worth of MATIC has quickly declined and could also be due for a attainable retracement.

The Transferring Common Convergence/Divergence (MACD) beneath the sign line confirms the bearish pattern. This implies that MATIC is at present in a downtrend motion. The histogram is also beneath zero, confirming the bearish momentum.

MATIC trades between the numerous help and resistance ranges at $0.7438 and $01.0306, respectively. The asset has already breakthrough the primary major help of $0.9335 and is heading strongly to the following help degree.

With this robust bearish momentum, the bears may break the following help and ultimately hit the final help of $0.51. Nonetheless, if the bull may take again management, we’d see MATIC hit the robust resistance degree at $1.1900.

Featured picture from Pixabay and chart from Tradingview