In the world of cryptocurrency, there’s a palpable anticipation in the air as all eyes are on the behavior of MATIC. The coin has been on a roller coaster ride recently, having consolidated within a band of $0.7730 and $0.6233 after shedding weight from its previous high of $0.9288. This bearish triangle flag pattern, which represents a more than 25 percent reduction, has left market watchers speculating about future movements.
MATIC value continues to consolidate, its momentum seemingly held in a chrysalis, ready to transform into a dramatic breakout. Analysts warn traders to hold their horses until this event occurs, its direction remaining a mystery. It could either catapult above the consolidation zone or ricochet downwards.
Amid this climate of uncertainty, MATIC has exhibited a decrease in price and market capitalization, triggering suggestions that bullish investors might be sitting on the fence, lying in wait for this tumultuous phase to resolve. In realtime terms, the price of MATIC had tobogganed by 2.97 percent, valued around $0.6926. This can be considered a blip below the 100-day Simple Moving Average (SMA) over the past 24 hours.
The market capitalization of our elusive coin has taken a plunge, dwindling by over 5 percent to $6.91 billion. There’s a silver lining for investors — trading volume has surged to $374 million, marking a gradual uptick of more than 1 percent in the past day.
On breaking down the movement over a 4-hour timescale, it appears MATIC is battling to liberate itself from the clutches of the 100-day moving average. If it pierces through the threshold, prices could veer in the bear direction, exiting the consolidation zone.
Extending our lens to the daily timeframe, it is discernable that the price is making a perilous attempt to negotiate confinement beneath the bearish triangle. It’s just a hair’s breadth away from seeping past the 100-day simple moving average.
The 1-day RSI teases further drops in the value of MATIC, as it’s venturing into the oversold zone, breaking below the halfway marker. This could be an indication of the weakening buying strength. This power shift in favor of the sellers might pressure the coin to tumble further. If a breakout does occur underneath the consolidation zone, the price trend could brace for a steeper descent.
Regardless of the current turbulence, if MATIC manages to burst out above the consolidation zone, it’s looking at a climb towards the $0.9488 resistance marker. If it overcomes that hurdle, it could kick off a race up to the $1.0968 resistance level.
Alternatively, a price plunge beneath the consolidation zone could propel the coin towards a new low, potentially dragging it to the $0.5030 support level. Any further dip could send it cascading down to the warning line at $0.3132 support level.
Indeed, the future trajectory of MATIC might be wrapped in uncertainty, but it’s undeniably an invigorating time for traders and observers alike — the markets are alive with speculation, the promise of change around each fluctuation. Whether these changes are drastic ascents or precipitous tumbles, only time will tell.
