Polygon (MATIC) Suffers the Worst Losses in Latest Market Dip

• MATIC lost over 10.20%, trading at a low of $0.4497 in the last 24 hours.
• Polygon plans to migrate MATIC to POL token on September 4.

The overall crypto market is under downside pressure, and the market cap has plummeted by over 3.30% to $2.11 trillion. Leading cryptocurrencies, Bitcoin (BTC) and Ethereum (ETH) have crashed by over 4%. However, Polygon (MATIC) has drawn attention by topping the losers list, declining by 10.20% over the past 24 hours.

The token opened the trading day at $0.5011, but it could not break the nearby resistance at $0.5078. During this timeframe, the token has fell to a low of $0.4449. Amid this dip, the asset’s daily trading volume has increased by over 71%, standing at approximately $408 million. At press time, MATIC was trading at $0.4497, according to CMC data. 

Notably, over the past 24 hours, the asset has experienced a $1.81 million liquidation, as per Coinglass data. The Open interest in MATIC contracts also witnessed a decrease of over 9% to $147.74 million. 

On the other hand, Polygon has announced that the MATIC token will migrate to POL, on September 4. The new token will replace MATIC as a native gas and staking token for the Polygon Proof-of-Stake (PoS) network.

Will MATIC Bulls Revive?

MATIC has shown a declining pace over the last month, noting a dip of over 12.75%. The asset plunged to $0.3508 from $0.5227. In the past seven days, the asset has witnessed a 4.23% drop. At the beginning of the week, the altcoin were trading at $0.4711. In the following days, it climbed to a high of $0.5793. 

If MATIC sustains in the bearish trap, without recovering, it will likely find nearby support at $0.4173. However, if the bulls break the bear hold, the asset can test its nearby resistance at $0.4753 soon. 

The daily price chart confirms MATIC’s bearish momentum with the short-term 9-day MA at $0.5077 and the long-term 21-day MA at $0.4563, above the current price. Besides, the price dip triggered the token to stay in the neutral market sentiment, as the daily relative strength index (RSI) stood at 45.38.