MATIC On Threshold of Breaking Rising Wedge Pattern
-Matic has risen 220% in the past week
-Bears may be taking control as rising wedge appears
-Key support to hold is $0.76
Matic has shot for the stars the past week as the ethereum based token rallies over 220%. BTC falling to $47,000 sparked another bull trend for Matic as the token rose from a low of $0.30 to $0.92. This bull trend may be coming to a halt as the price has formed a bearish rising wedge pattern.
For Matic to continue up trending, $0.92 must become support. If this occurs, the bulls must break above the top trend line of the rising wedge formed on the 4 hour chart. Rising wedge patterns are technically bearish and the sell is activated when the price breaks below the bottom trend of the pattern. The 10MA has been holding up the price of Matic for nearly 4 days.
Matic breaking down from its rising wedge will likely result in a -15% downfall to major support area of $0.76. The bottom trend is also met with the 10MA, if both marks fail to hold, Matic will fall. In the case that major support of $0.76 fails to hold, $0.67 & $0.59 will provide a bounce for the price.
While looking at the MACD, we can conclude it seems very overextended. The histogram has had 28 consecutive green ticks. The blue MA dropping below the orange MA will signal a bearish downtrend. Confirming this view, the Stochastic RSI has printed a bearish divergence as the price made higher highs. Matic intraday levels
Spot rate: $0.922
Trend: Bullish
Volatility: High
Support: $0.76
Resistance: $0.90
-Bears may be taking control as rising wedge appears
-Key support to hold is $0.76
Matic has shot for the stars the past week as the ethereum based token rallies over 220%. BTC falling to $47,000 sparked another bull trend for Matic as the token rose from a low of $0.30 to $0.92. This bull trend may be coming to a halt as the price has formed a bearish rising wedge pattern.
For Matic to continue up trending, $0.92 must become support. If this occurs, the bulls must break above the top trend line of the rising wedge formed on the 4 hour chart. Rising wedge patterns are technically bearish and the sell is activated when the price breaks below the bottom trend of the pattern. The 10MA has been holding up the price of Matic for nearly 4 days.
Matic breaking down from its rising wedge will likely result in a -15% downfall to major support area of $0.76. The bottom trend is also met with the 10MA, if both marks fail to hold, Matic will fall. In the case that major support of $0.76 fails to hold, $0.67 & $0.59 will provide a bounce for the price.
While looking at the MACD, we can conclude it seems very overextended. The histogram has had 28 consecutive green ticks. The blue MA dropping below the orange MA will signal a bearish downtrend. Confirming this view, the Stochastic RSI has printed a bearish divergence as the price made higher highs. Matic intraday levels
Spot rate: $0.922
Trend: Bullish
Volatility: High
Support: $0.76
Resistance: $0.90