Polygon (MATIC) – Continues to exhibit a steady bearish trajectory inside the regression channelPosted on Monday, March 14 2022 at 8:29 pm GMT+0000
Polygon (MATIC) continues to fade below the upper line of the regression channel pulled from the December all-time high heading for the most recent low at 1.25. The falling exponential moving averages are promoting the current negative structure.
Moreover, technical indicators are painting a dampening picture with downside momentum in the lead. The ROC slipped beneath its simple moving average in the bearish region, while the +DI and -DI lines of the ADX indicator are negatively aligned and diverging.
So, all eyes are turned now to the February 24th bottom at 1.25, where any violation will bolster selling interest leading the price initially towards the middle line of the channel ahead of the 1.00 round psychological level, last seen in September 2021.
However, if the aforementioned support proves solid enough for an upside reversal, there are several obstacles that the bulls need to breach before they claim victory. First of all, the upper line of the channel could immediately halt any bullish actions. If not, the last week’s top of 1.55 will try to intervene. Only a sustainable move beyond the moving averages and the March 2nd high at 1.70 will brighten the medium-term outlook.
In brief, Polygon continues to exhibit a steady bearish trajectory inside the regression channel and a dive below 1.25 will juice up negative pressures. That said, for downside risks to abate, price would need to rise above 1.70.