• The MATIC price comes back inside the ascending wedge.
  • Strong support for MATIC is near $ 1.30, but no support exists below this value area.
  • The market is waiting for buyers to step in and support prices.

The price of MATIC continues to decline, facing the same weakness affecting the broader cryptocurrency market. Significant support areas exist below, but failure to hold this support could trigger a sell off.

MATIC must hold the value area $ 1.30 – $ 1.40; a return above the bullish wedge would revive bullish sentiment

MATIC price performed a very bearish price action event last week as it moved back inside the bullish wedge. This downward price action continued during the current week. The bears are testing one of the main support areas at $ 1.50 and appear to be gaining control.

Below the $ 1.50 support area is the final but most vital support level in the $ 1.30 value area. 38.2% Fibonacci retracement, Senkou Span B, Senkou Span A, 2021 volume checkpoint and lower uptrend line exist in the $ 1.30 to $ 1.40 value area .

As long as the MATIC price can maintain a weekly close above $ 1.45, the threat of a collapse can be eliminated. However, some warning signs in MATIC’s oscillators should be observed, especially on the composite index.

The composite index has just fallen below its moving averages into neutral territory – usually a very bearish warning sign. However, the Relative Strength Index can dampen any effect of this bearish signal. MATIC’s relative strength index remains in bullish market territory and hits a solid support level at 50, a level twice tested and held as support.

MATIC / USDT Weekly Ichimoku Chart

Failure to meet the discussed support levels could result in MATIC returning to the $ 0.80 value area. Any short-term bearish outlook would be canceled if MATIC could come back and close above the ascending wedge pattern.