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The Layer-2 protocols are designed to address the speed and scalability problems faced by major cryptocurrency networks. However, the recent sell-off in the crypto market has brought a heavy discount to some Layer-2 crypto coins, which can offer massive returns to their investors with the right buy.
MATIC Bulls Defended The $1.45 Support
The MATIC price took a significant hit during the recent bloodbath in the crypto market. The coin price plummeted to the 0.618 Fibonacci retracement level, indicating a 50% loss from the All-Time High($2.92). Last week the coin chart presented a relief rally that retested the 200-day in search of sufficient supply.
The MATIC/USD price rejected from the overhead resistance with an evening star pattern would soon slide to the $1.5 mark. The crypto traders should keep an eye on this support as a possible reversal could initiate a recovery rally.
The Relative Strength Index(35) slope surge above the oversold zone and 14-SMA, indicating buyers are building up momentum.
AVAX Price Struggles To Reclaim 200-day EMA
On 21st January, the AVAX price gave a decisive breakdown from its monthly support level of $78.2. The coin price plunged to $53 level obtained strong interest from buyers, resulting in a relief rally during the last week.
However, the bears defending the 200 EMA line might push the price back to bottom support. The coin price might resonate between the $78.2 and $53 mark, creating a narrow range. Therefore, a breakout from either of these levels would trigger the following trend.
The MACD indicator shows a bullish crossover among the MACD and signals a line in the bearish territory, suggesting a bullish reversal.
OMG Price Retest To $5 mark Threatens An Upcoming Fall
During the last two months, OMG price has majorly resonated in a confined range, stretching from $7.25 and $5. However, under the influence of intense selling pressure in the crypto market, the sellers manage to plunge the coin below the bottom support.
The OMG/USD pair tanked 23% from the breakdown point($5) before the buyers pulled the coin price to the new flipped resistance. If the bears could sustain the ALT below the $5 mark, this pair would drop another 42% before it retests yearly support of $2.84
On a contrary note, the sudden pump in volume activity during the retest phase of $5 hints at a mere possibility of buyers reclaiming the overhead resistance.
The 100-and-200-day DMA nearing a bearish crossover encourages the ongoing selling in the market.