Polygon [MATIC]: Bulls fixated on a key swing high, is it even reachable

ambcrypto.com:

Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion

Before getting a steady ground, Polygon [MATIC] depreciated 40%, from $1.57 to $0.94. Bulls got refuge at $0.94, fronting a recovery that hit a price ceiling at 50% Fib level ($1.2558).

The second leg of recovery was on at the time of writing, but bulls must overcome a key obstacle to hit a recent swing high. 

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The king coin, Bitcoin [BTC] , retested its recent high of $26K, which could push most altcoins, including MATIC, to aim at their local highs too.

However, if BTC faces price rejection at the $26K level, the rest of the altcoin market could enter into a retracement. 

Source: MATIC/USDT on TradingView

MATIC’s uptrend rally in the second half of January chalked an ascending channel. But a breach above the channel faced rejection at $1.57, setting MATIC to plunge 40%. So far, it has two legs of recovery.

The first leg faced rejection at 50% Fib level ($1.2558), and the second leg, seen at press time, could attempt to restest the same level if bulls overcome the hurdle at 38.2% Fib level ($1.1816). 

But price rejection at the 50% Fib level could offer another correction with the 38.2% Fib level ($1.1816) and 23.6% Fib level ($1.0899) as key support levels if the trend goes south. 

However, failure to close above the 38.2% Fib level could attract bears to sink MATIC to the 23.6% Fib level ($1.0899) or the swing low of $0.94, especially if BTC faces sharp retracement from $26K. 

The Relative Strength Index (RSI) and Accumulation/Distribution indicators showed sharp rises, indicating increasing buying