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The Polygon price is down 5.62% after failing to clear resistance. As weakness engulfs the crypto market, we wonder if MATIC has more downside to come.
MATIC had followed Bitcoin higher over the last two days. When the market leader scaled $40,000, it took the Polygon price with it. However, BTC has given up the elusive $40k mark, and MATIC is again tracking its price action.
Polygon is last trading at $1.5382 lower by $0.8945 (-5.62%)
The 4-hour chart clearly shows Polygon has broken out of a descending wedge pattern Monday’s surge above $1.4000 took MATIC above and falling trend line for the first time this month.
However, the price could not clear horizontal resistance at $1.7280, reversing sharply to its current level. The decline is running into some support around $1.5155.
MATIC briefly pierced this support from the 29th of May before finding a base. That being said, its negative momentum is likely to see the support tested again soon.
If the price cannot sustain the current level, MATIC will be vulnerable to returning to the $1.4000 trend breakout.
Of course, if the support holds, the outlook remains bullish. Therefore i would consider $1,5155 to be a key area for the Polygon price.
MATIC will continue to follow in Bitcoin’s footsteps. Subsequently, traders should pay close attention to BTC.
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