MATIC – Experiencing a sharp correctionPosted on Monday, December 13 2021 at 8:51 pm GMT+0000
MATIC has logged a sharp decline from the fresh 6-month high of 2.59 posted a few days ago, dipping below several crucial support barriers. That said, the positively aligned long-term simple moving averages continue to endorse the positive structure.
Momentum oscillators are suggesting that the current correction could persist for a bit longer. The RSI is sustaining a negative bearing and just slipped into the negative region, while the MACD has been losing strength and recently crossed below its signal line.
Furthermore, the recent dip below the 38.2% Fibonacci retracement level of the July-December uptrend at 1.82 could further boost selling pressures, paving the way towards the 50.0% Fibonacci level at 1.60, and the overlapping 100-day simple moving average. While a decisive drop below the November 18th low of 1.44 will dismantle the current bullish structure.
If buyers manage to seize back the reins, they may face early constraints from the 23.6% Fibonacci level at 2.11 and the nearby October 29th inside swing high. By successfully conquering these obstacles, bulls may propel the price higher for a fresh test of the 8th of December high at 2.57 before moving to challenge the all-time high recorded at 2.82.