• Polygon price went sideways after a first gut punch from bears eating away at the price action.
  • MATIC shows cracks in its support as selling pressure continues to build further.
  • Expect to see a quick nosedive move that might start to challenge $0.80.

Polygon (MATIC) price got slaughtered on Monday as pivotal support at $0.96 was completely torn down by bears and saw them running price action substantially lower. In the ASIA PAC session on Tuesday, some support came, and we started to see a mild recovery. With the US trading session picking up steam, more selling pressure should arrive.. It is a matter of time before MATIC drops another leg lower to $0.82 or below even.

MATIC to shed another 10% under selling pressure

Polygon price action results from a pre-announced sell-off that was primed to happen soon. Signs on the wall have been there since the end of April and are clearly visible on the chart. Experienced technical traders will have spotted that after the failed attempt to reach $1.064 on April 26, peaks have been coming in lower, confirming the heavy selling, which is now playing its end game.

MATIC saw a few brave bulls buying the dip at $0.88, though that might have been a bit too early. With global markets now rolling over as well, expect some more headwinds to persist at least on Tuesday and possibly on Wednesday with sticky selling pressure at hand. Rather look for MATIC near $0.82 or even $0.79 for ample support to see new buying that halts the sell-off with a turnaround.

 MATIC/USD  4H-chart      

MATIC/USD  4H-chart    

With price action flirting with $0.90 and the Relative Strength Index (RSI) already beyond the oversold barrier, selling pressure could start to wane quite quickly. This would open the room for more recovery with some small gains at hand. Certainly, $0.94 looks to be a promising level that bears  at least a 5% gain in a small recovery.


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