MATIC Technical Analysis: Mark Cuban Backed Altcoin Gets Dumped
Table of contents
In a recent interview, Mark Cuban supported Ethereum and its sidechain Polygon, packed with several use cases thanks to their smart contract functionality. Hence, Mark says he has invested in “a lot of” MATIC and ETH.
The MATIC coin price shows a 15% downfall as it breaks below the 200-day EMA to approach the $1.55 support zone. The 50 and 100-day EMA merge to give a bearish crossover. Will the downfall continue below the $1.55 due to the bearish crossover?
Key technical points:
Past Performance of MATIC
On February 10th, the MATIC price retraced from the shared resistance of 50, 100-day EMA, and the long-coming resistance trendline at $1.88. Therefore, the coin price fell by 16% below the 200-day EMA due to the high supply area.
Currently, the market price of the MATIC token is $1.64, with a 3.61% downfall in the last 24 hours. Moreover, the MATIC/BTC pair at 0.00004057 fell by 2.81% in the past 24 hours.
Source-Tradingview
MATIC Technical Analysis
The breakout of $1.75 indicates the increased selling pressure in MATIC coin price, which indicates a downfall to the $1.50 support zone. However, a rise in bearish trend momentum can result in the $1.50 breakout and reach $1.25.
The crucial 50 and 100-day EMAs showcase a bearish crossover as the altcoin continues the downtrend. Moreover, the free fall heads are lower than the 200-day EMA.
The RSI Indicator shows the slope breaking below its previous low as the altcoin breaks below the $1.75 support level. The slope heads below the 50% mark and hints at increased selling pressure.
The MACD indicator shows the MACD and signal lines trend sideways beneath the zero line and are ready to give a bearish crossover. Hence, the indicators may shortly start the trend of bearish histograms.
In conclusion, the MATIC technical analysis showcases a high possibility of a retracement to the $1.55 support zone.
Upcoming Trend
The MATIC coin price resonates within the symmetrical triangle pattern and hints of a bearish fallout below the $3 mark. However, sellers must wait for the price action confirmation to avoid a bear trap.
Support Levels: $2.80 and $2.40
Resistance Levels: $3.35 and $3.60