Markets
The polygon (MATIC) may not rebound if this level exceeds
Polygon (MATIC) the price reached lows, which took a break over the last 48 hours.
However, this is not enough to counteract the fact that the intense downtrend continues to influence price action.
Polygon Investors Stay Low
MATIC Price had an impact on the total volume of transactions generated on the network. This figure has reached a significantly low level, reflecting the levels seen in December 2023. Currently, the trading volume stands at less than $33 million, highlighting a considerable reduction in network activity.
This drop in transaction volume may reflect a decrease in user engagement or confidence in the network’s performance.
MATIC trading volume. Source: InThe block
Besides the concerning trading volume, MATIC faces a unique challenge due to its low correlation with Bitcoin. If Bitcoin were to rise significantly, MATIC may not benefit from the same bullish momentum. This disconnection could hinder MATIC Recovery Effortsmaking it less responsive to broader market gains generated by Bitcoin.
Currently, the correlation sits at a two-month low of 0.4, last seen in April of this year. Overall, the combination of low trading volume and low correlation with Bitcoin presents a challenging environment for MATIC.
Learn more: How to Buy Polygon (MATIC) and Everything You Need to Know
As the network struggles with reduced activity, the lack of alignment with Bitcoin’s price movements could complicate efforts to regain lost ground. Investors and stakeholders should closely monitor these dynamics as they navigate the uncertain landscape ahead.
MATIC Price Prediction: Another Drop Ahead
MATIC price has fallen below the consolidation between $0.75 and $0.64 over the past ten days. As a result, the altcoin can be seen changing hands at $0.62 at the time of writing. Despite the presence of green candlesticks over the past two days, Polygon’s native token is destined for decline.
The aforementioned signals could cause the altcoin to fall below $0.60 again, potentially to $0.53.
Learn more: Polygon (MATIC) Price Forecast 2024/2025/2030
However, it would be necessary The price of MATIC manages to secure $0.60 as a support floor and re-enters the consolidation above $0.64, the altcoin has a chance to recover. This would also invalidate bearish signals.
Disclaimer
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