In the volatile cryptocurrency world, Polygon’s MATIC token recently made headlines for a disturbing reason: an overwhelming 92.91% of MATIC addresses are currently out of money. This means that the value of their property is now less than their purchase price!
Polygon (MATIC) is falling! The data is alarming
Polygon ( MATIC ) is down 0.22% in the last 24 hours and 92% of addresses are out of money. This alarming situation was made even worse by the fall of the token to a nine-month low! Which raises concerns among crypto investors and traders. The MATIC price is currently below the 50 and 200 period moving averages. Generally, this is a sign of a short-term downtrend. The downward pressure is palpable, but could we soon see a trend reversal?
Is there a cryptocurrency revolution going on?
Moving Average Convergence Divergence (MACD) seems to indicate that a bullish transition could be imminent, despite the current bearish strength. Additionally, the consolidation around current price levels combined with a potential bullish transition in the MACD suggests that cryptocurrency buyers could be slowly gaining momentum. This could be the key to regenerating the bullishness of the altcoin market.
Despite the dominance of bears in the crypto market, entry volumes on exchanges have seen big jumps! A typical indicator of selling pressure when investors move their tokens to exchanges, possibly for sale. However, MATIC’s recent trends reveal a steady downward trend in inflows, meaning immediate selling pressure could ease. For a bullish reversal to gain momentum, market sentiment requires a massive bullish trigger, be it network or broader economic trends.
Finally, while MATIC’s current situation may seem bleak, technical indicators and stock market activity offer a glimmer of hope for a potential bullish reversal. Crypto investors and traders should remain vigilant and closely monitor these developments to navigate these turbulent waters carefully.
The world is evolving and adaptation is the best weapon to survive in this wavy universe. Essentially a crypto community manager, I am interested in anything directly or indirectly related to blockchain and its derivatives. To share my experiences and raise awareness of a field that fascinates me, there is nothing better than writing articles that are both informative and relaxing.
DISCLAIMER OF LIABILITY
The comments and opinions expressed in this article are solely those of the author and should not be considered investment advice. Before making any investment decision, do your own research.