The News Crypto -
- Polygon (MATIC) price could stage a comeback with investor support and the broader market’s continued cooling off.
- The RSI and MVRV ratio suggest a potential recovery, with the RSI in the bearish zone but not yet oversold.
- MATIC price needs to maintain its position above the $0.53 support level to validate the bullish thesis.
Polygon (MATIC) price has the potential to stage a comeback, contingent upon its investors moving in a positive direction and the broader market’s continued cooling off. The current market conditions could serve as a catalyst for the asset’s recovery, as the overall sentiment appears to be stabilizing.
Polygon Investors Hold the Key to Triggering a Recovery
MATIC price has been caught in a downtrend since the beginning of March, and this bearish phase has yet to conclude. However, the altcoin is showing signs of a potential recovery, provided that the broader market cues continue to turn positive.
Evidence of this potential recovery can be found in the Relative Strength Index (RSI), a momentum oscillator that measures the speed and change of price movements, typically used to identify overbought or oversold conditions in a market. The RSI ranges from 0 to 100, with levels above 70 indicating overbought conditions and below 30 indicating oversold conditions.
Currently, MATIC’s RSI is situated in the bearish zone but has not yet reached the oversold territory, suggesting that the market sentiment remains negative.
Despite being in the bearish zone, the fact that the RSI has not hit the oversold level is often considered a sign that a recovery could be on the horizon.
MATIC Price Prediction: Bounceback Remains a Possibility
Over the past couple of days, MATIC price has experienced a significant decline, falling below $0.60. Not only did the Polygon native token break below its consolidation range, but it also hit an eight-month low.
With $0.53 considered as the next critical support floor, MATIC is currently trading at $0.57. Either a bounce back from this support level or continued recovery could propel the altcoin back into the consolidation range between $0.75 and $0.64.
However, if MATIC price slips below the support level instead, it could invalidate the bullish thesis, as the token would fall below $0.50. This scenario would make the recovery process much more challenging for the crypto asset.