The post Polygon Moves to POL Tokens, But MATIC Price Struggles at $0.37! appeared first on Coinpedia Fintech News
As a major network upgrade takes place, the Polygon ecosystem has now migrated to the POL token as its native token on the mainnet. It all started when Polygon Labs announced on July 18 that it was migrating its native token from MATIC to POL, which was initiated on September 4.
From now on, the ecosystem will use the hyper-productive POL token as its native gas and staking token, and further as validator rewards and governance fees.
Despite the massive transition, there is no pressure on MATIC investors to immediately move to the new gas token. Binance announced last week that it will support the transition, along with Kucoin and Coinbase. Binance will suspend all MATIC spot trading pairs on September 10 at 03:00 UTC.
However, this massive upgrade failed to boost the price of MATIC coin in the cryptocurrency market. Let’s take a closer look at the MATIC price analysis.
MATIC Price Performance
With a market cap of $1.73 billion, Polygon ranks 43rd in the cryptocurrency market. The MATIC token is currently trading at $0.3702, with a 24-hour pullback of 1.30%.
TradingView
Last week, this altcoin recorded a 12.50% drop. On the daily chart, the MATIC price action shows a long-standing descending channel pattern that failed to break out bullishly.
The breakout rally peaked at $0.56 but quickly underwent a V-top reversal. The down cycle has fallen 35% over the past 13 days, with only one bullish candle, and is currently testing $0.37 support.
Technical indicators:
Repeated repetition: Despite the new lower low formation, the daily RSI line shows that a bullish divergence is in play. Meanwhile,
EMA: The 50 and 200 days EMA have been in a downtrend since the Death Cross in April of this year. Since the Death Cross, the MATIC price has failed to test the 200 days EMA.
Will Polygon price drop below $0.40?
Based on the price action levels, the next support levels are $0.33 and $0.30, with a decreasing support trend line. On the positive side, if the recovery proceeds with a broad market bounce, it could challenge $0.40 along with the overhead resistance trend line.
This breakout rally will likely challenge the 50-day EMA again, which acts as dynamic resistance at $0.4617.