Polygon price has been on downward momentum for two weeks now. Risk aversion continues to weigh on cryptocurrencies amid the heightened rate hike bets. The crypto fear & greed index is at an extreme fear level of 23. The fear level has intensified from last week when the index was at 29.
Polygon price prediction
Since hitting its all-time high of 2.9236 two weeks ago, MATIC has dropped by about 26.90%. On Saturday, it dropped to its lowest level since mid-December at 1.8948 before bouncing back. At the time of writing, it was up by 1.18% at 2.1404.
On a four-hour chart, Polygon price is trading along the 25-day EMA and below the 50-day EMA. It is also below the long-term 200-day EMA.
Notably, the formation of the bearish head-and-shoulder pattern towards the end of the past year signalled further losses. The death cross that formed over the weekend is a sign that the altcoin may remain under pressure in the short term. The pattern forms when a short-term EMA (50-day EMA) crosses the long-term EMA (200-day EMA) to the downside.
Based on these technical indicators, Polygon price will likely experience some resistance along the 50-day EMA at 2.2249. On the lower side, it may find support at 2.0500, which would result in range-bound trading. Below that level, 1.9685 will be a support level to look out for.
For the crypto to record a trend reversal, there will need to be enough bullish momentum to push it to the head-and-shoulder neckline at 2.5000. However, it will likely encounter some resistance at around 2.4000.
