Investing.com – The cryptocurrency is Tuesday morning the worst performer in the top 10, having plunged 8.5% since yesterday.
Note that this slippage accentuates a correction initiated last Saturday, after the MATIC reached a 10-month peak at $1,566, after a rally of more than 37% in 5-day months.
But yesterday’s fall is not simply related to a correction of the previous rise, or the lackluster mood that has prevailed in the crypto market since yesterday.
Indeed, the is also affected by the fact that Polygon Labs announced the loss of a hundred jobs, or 20% of its workforce, on Tuesday.
“Earlier this year, we consolidated multiple business units under Polygon Labs. As part of this process, we are sharing the difficult news that we have reduced our team by 20%, impacting multiple teams and approximately 100 positions,” the company said. company in a press release.
Unsurprisingly, this has largely chilled Polygon investors, especially since the cryptocurrency had largely outperformed the market since the start of the month.
The company’s co-founder, Sandeep Nailwal, was reassuring, saying:
“Cash remains healthy with a balance of over $250 million and over 1.9 billion MATICs, and we have crystallized our strategy for the next few years to help drive the mass adoption of Web3 by introducing ‘ladder “.
However, this was not enough to prevent the MATIC from reacting negatively.
Technical thresholds to monitor on Polygon (MATIC)
From a chart perspective, note that the MATIC’s correction from last week’s high does not yet challenge its bullish profile on the daily chart, as seen below.
On the other hand, a break below the $1.350 zone would constitute a significant bearish signal, which would put the psychological threshold of $1.30 in sight in the first place. Then $1.20 and the February 13 low at $1.14 will be the next potential supports. On the upside, $1.40 is immediate resistance ahead of $1.50 and the February 18 high at $1.563.