Despite witnessing low volatility for a month, Matic’s price continued to increase as it recovered almost half of its price since last month. It formed a bullish pattern and look poised for more increase.
Matic started this week strong following a slow bounce from $0.65 last Wednesday. The bulls seem to be back from a break as the coin performance increased in the last 24 hours.
However, it is still struggling to recover well since the price fell to $0.5 in June. Despite that, the price is building up with a higher high and higher low pattern on the lower timeframe.
But in contrast to that pattern, it is forming a bearish flag on the current daily chart with a break above a five-month resistance line. That could lead to another bearish if the price breaks the flag pattern. It retested the recent breakdown support as resistance – it may initiate another drop.
Should the flag pattern fails to play, Matic could continue to recover with a V-shaped pattern until it encounters resistance. It may then resume bullish after a pullback.
Looking at the bigger picture of the whole market sentiment, Matic is technically in a downward range. It must reclaim the $1 level to consider bullish from a short-term perspective. Currently, the price is down 33% in the last 90 days of trading.
Matic’s Key Levels To Watch
As Matic reclaimed $0.7 recently, it faces resistance at $0.75 – the previous yearly low. If the resistance level flips due to a surge in volatility, the next target would be $0.823 and $0.9.
The support levels to consider for drops are $0.69, $0.63 and $0.56. A fall below the current yearly low of $0.50 could trigger a bearish continuation.
Key Resistance Levels: $0.75, $0.823, $0.9
Key Support Levels: $0.69, $0.63, $0.56
- Spot Price: $0.73
- Trend: Bearish
- Volatility: Low
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any service.
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