Key Price Levels to Monitor as MATIC Drops 10% in Response to Market Downturn

Overview

MATIC, the native token of the Polygon network, has recently experienced a notable decline in its value. Over the past week, it has dropped by more than 10%, and within less than 24 hours, it plummeted by 8%. This decline coincides with a broader negative sentiment prevailing in the cryptocurrency market.

Key Support Levels Identified

Fortunately, recent on-chain analysis has shed light on crucial levels that investors should monitor following the recent downturn in MATIC’s price.

Over 10,900 Addresses Bought 600 Million Polygon Tokens At This Price

According to a recent analysis by crypto pundit Ali Martinez, the price of MATIC has established a significant support level around its current price point. This assessment is based on data from analytics firm IntoTheBlock, which tracks the average acquisition price for wallet addresses.

A chart highlighted by Martinez illustrates the distribution of Polygon token supply across various price ranges. Notably, over 10,900 wallet addresses purchased approximately 608 million MATIC tokens within the $1.02 to $1.05 zone. This massive buying activity has helped establish crucial support in this price region.

While the substantial size of this support level indicates its strength, sustained bearish pressure could lead to MATIC’s price breaching and falling below this support, potentially dropping to around $0.91.

The $0.89 – $0.92 Price Range

Another key level to watch is the $0.89 to $0.92 price range, where approximately 35,680 wallet addresses purchased nearly 400 million Polygon tokens.

Current MATIC Price

As of the latest update, the price of MATIC is $1.04, reflecting an 8% decline over the past 24 hours. This drop follows the altcoin reaching a multi-month high of $1.28 on March 14.

According to data from CoinGecko, MATIC has experienced a 9.7% price slump in the last seven days. However, looking at a broader perspective, the cryptocurrency has shown positive performance over the past month.

With a market capitalization exceeding $9.7 billion, the MATIC token currently ranks as the 18th-largest cryptocurrency in the market.