The market for Polygon (MATIC) has been in turmoil as bears have driven the price down to a 90-day low of $0.8233. Amid this bearish trend, 30 million MATIC tokens worth approximately $25 million have been mysteriously transferred from Polygon Staking to an unknown wallet. This sudden cash shift has the crypto community speculating about the potential market impact; some anticipate a revival in demand, while others fear that selling pressure might push prices further down.
At the time of writing, MATIC was trading at $0.8274, a 3.99% decline from the previous close. The market capitalization and 24-hour trading volume of MATIC fell by 4.01% and 15.30%, respectively, to $7,663,380,749 and $409,553,906. This slump adds to the market’s continuous instability as investors grapple with the aftermath of the significant MATIC move.
Looking at the 24-hour MATIC/USD price chart from CoinMarketCap, we see that the 200-day moving average (MA) touches $1.029, while the 50-day moving average (MA) touches $0.932. The fact that the 50-day MA is lower than the 200-day MA indicates weaker recent price fluctuations compared to the long-term trend. This could be a sign that selling pressure in the market currently outweighs buying pressure.
Price activity below both moving averages is also a negative indicator, suggesting a lack of confidence in the market. Investors might be staying on the sidelines until there’s more clarity about MATIC’s future trajectory.
The MATIC/USD chart from TradingView shows the RSI score of 21.23, which indicates that the MATIC market is experiencing strong negative momentum, with selling pressure outweighing purchasing pressure. However, the fact that the market is oversold signals that there might be a potential buying opportunity for investors, as this could lead to a price reversal soon.
The MATIC market is under mild selling pressure, with a Chaikin Money Flow (CMF) rating of -0.07. Nonetheless, the fact that the CMF is rising suggests that there could be a shift toward buying pressure in the near future. This could be good news for investors looking for a favorable entry point.
In conclusion, although the MATIC market faces bearish pressure, the oversold conditions and rising CMF suggest a potential buying opportunity for investors.
Disclaimer: The views, opinions, and information shared in this price prediction are published in good faith. Readers must conduct their research and due diligence. Any action taken by the reader is strictly at their own risk. Coin Edition and its affiliates will not be liable for direct or indirect damage or loss.
