Bitcoin and much of the altcoin market faced bearish pressure over the previous day. Polkadot had formed a bearish pattern and faced rejection at a resistance level. Polygon slipped beneath the $1.4 level and could dip further toward its range lows at $1.3. Filecoin had a bearish outlook as well.
Polkadot formed a rising wedge pattern over the past week, while at the same time climbing toward the $19.4 resistance level. It made a brief foray above $19.5 but was quickly rejected and pushed lower toward $18.
The RSI dropped below neutral 50 and showed bearish momentum held sway. The Fibonacci retracement levels, combined with a demand zone, highlighted $18 as a strong support area. However, the OBV noted selling volume to be dominant, and a further drop was likely.
The Volume Profile Visible Range showed the Value Area Lows and Highs of the past two weeks to lie at $1.37 and $1.46. The Point of Control was at $1.41, and at the time of writing the price was beneath the Value Area Lows.
Examining the price action of the past two weeks, it can be seen that MATIC has formed another short-term range (yellow) between $1.31 and $1.48. The mid-point of this range at $1.4 has been ceded to the bears, and the Awesome Oscillator showed strong bearish momentum. Therefore, MATIC was likely headed toward the range lows at $1.3 once more.
The RSI for FIL on the hourly chart tested neutral 50 as resistance and was unable to climb past. Therefore, the momentum was neutral, according to the RSI. The CVD showed that there had been some selling pressure in the past few days.
At the same time, the price has formed a series of lower highs but also higher lows. This hinted at price action of a compressive sort. If FIL can climb past the $19.6 resistance zone, the compression and eventual move upward can be expected to continue. On the other hand, falling beneath the $18-$18.3 area could dent bullish hopes and fuel bearish ones for the next few days.