What next for MATIC as bulls are forced to take a back seat

Is the End Near for Polygon (MATIC)?

As a journalist, I want to provide you with the latest updates on Polygon (MATIC). Here’s what you need to know:

The Recent Sell-Off
Polygon (MATIC) recently experienced a sell-off that shook the market. The token had reached a high of $0.983 on November 14 but then fell by 26.7% to reach $0.721 on November 21. This was a major setback for the cryptocurrency, especially after it had shown potential to climb past $1.

The Impact of Binance
The sudden drop in value was partly due to FTX’s liquidation of its crypto assets, with a large amount of MATIC being moved to Binance. This news caused some panic in the market, leading to a downward trend for MATIC.

Bearish Market Structure
On November 21, MATIC’s one-day trading session closed at $0.72, well below the $0.7595 support level. This created a bearish market structure, and the bounce that followed retested the $75-$77 zone as resistance, indicating a further potential drop in price.

Potential Recovery?
Despite the bearish signs, there is still a chance for a recovery. However, the bulls have been struggling to hold on to the $0.8 support level, and the on-balance volume and RSI indicators suggest that the trend is shifting in a bearish direction.

On-Chain Metrics
The on-chain metrics also indicate a bearish outlook, with a decline in MVRV values as holders started booking profits. The age consumed metric also showed a large amount of previously stagnant MATIC being moved, reflecting nervousness in the market.

Future Outlook
While there have been some positives, such as the MVRV and network growth, the overall market sentiment for MATIC remains cautious.

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In conclusion, the recent sell-off and bearish market signals suggest that Polygon (MATIC) may be facing some challenges ahead. It’s important to keep an eye on the market and stay informed about the latest developments.

To check if your portfolio is green, use the MATIC Profit Calculator.

### News source: eng.ambcrypto.com

By Team