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.
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.