Despite the massive crypto market crash of May 2021, MATIC Price was able to withstand the freefall and surge 120% by entering the top 20 cryptos by market capitalization.
Even though altcoin has been creeping towards its May ATH, the coin plunge below the $2.01 resistance level. Since then, a sideways movement was present till June 4, further pushing the prices down.
$MATIC Price Needs to Hold Here or There Will Be a Drop
MATIC worth has been on a consolidation streak for roughly every week. The coin fell below the $1.58 support level and established a new one at $1.23. At press time, the Relative Strength Index fell below its steady neutral position and the purple line has been dragging in the oversold region.
Parabolic SAR showed clear signs of a downtrend and is backed by the rising indicator of Average Directional Index (ADX). Its highly directional movement, past the 25.0 mark suggested an incoming downtrend.
As long as the coin stays above the support level, the price can bounce back. Hitting against a line of support, we’ll see 1.42 and possibly lower in the near term if this continues down. Any stronger negative cues could drop the support level to $0.85.
On the other hand, a bounce from the $1.592 level is likely in a bull trending market. Therefore, MATIC price could rise above $1.592, signaling increased buying pressure. In this case, a 15% ascent will put Polygon at $1.825.
If the momentum continues, the altcoin might hit $1.972, and reach, $2.206, which is roughly 27% from the current point.
Matic (now Polygon) Has been making some serious moves this year (100x). There are very few things in this life that I regret- not buying more Matic at $0.016 is one of them. Like many others in the crypto space- the Elliott Wave count suggests Matic is in the 4th wave of the 3rd wave. The 0.236 has been hit so this correction could be done but the length of time doesn’t ‘look right’; so that makes me cautious of a triangle or deeper retracement. The 2.618 seems to be a common target for the 3rd wave at the moment so there could be significant upside left in the tank.