Key Insights:
- Amid the ongoing price correction, the Polygon price prediction suggests that POL is poised for massive upside growth.
- POL is retesting its key breakout level at $0.24, which is currently supporting the asset.
- Traders were over-leveraged at $0.2369 on the lower side and $0.2465 on the upper side.
Polygon price has seen strong upward momentum in recent days. It appears to be entering a price correction phase, adjusting after its rally.
Some view this correction as an accumulation phase. At the same time, others see it as a sign of impending weakness in the POL price trend.
Current Market Sentiment & Polygon Price Momentum
Polygon price was trading near $0.243 at press time. The token registered a surge of over 1.25% in the past 24 hours. During this period, trader and investor participation surged.
As a result, recorded trading volume jumped by 45%, reflecting heightened market activity. This jump in trading volume was potentially caused by forming a bullish candlestick pattern. This pattern was formed at the key support level of $0.24.
A slight price correction or consolidation is often beneficial after an asset surges or breaks past resistance. Historically, these pauses have helped sustain upward momentum and fuel continued gains.
This consolidation phase gives investors and traders the flexibility to enter or exit the asset. It helps establish a more stable and sustainable rally in the market.
Polygon Price Action and Key Levels
According to expert technical analysis, the Polygon price prediction for the coming days appears bullish. It is poised for impressive upside momentum.
POL has successfully broken past a prolonged descending trendline. It also cleared a key horizontal resistance level at $0.24 on the daily chart, signaling potential bullish momentum.
However, the price retests the breakout level, indicating a healthy correction before a potential upside rally.
If the POL price maintains the $0.24 level, it could sustain its upward trend. Polygon price prediction indicates a potential 20% surge toward the $0.30 mark.
Polygon price prediction could turn bearish only if the token falls below $0.24 and closes a daily candle beneath it. If this happens, the asset could see a price decline of 12% toward the $0.20 level in the future.
POL price is currently well below the 200-day Exponential Moving Average (EMA) daily. This indicated that the asset is downtrend, with sellers controlling the market.
This indicator helps traders and investors assess whether an asset is trending upward or downward. Using this insight, they make strategic decisions to optimize their positions in the market.
However, the trend is bearish, but based on the asset’s momentum, it seems that POL could soon overcome this bearish trend.
On-Chain Metrics’ Bullish Outlook
Alongside the bullish price action, traders and investors are reinforcing market sentiment. According to Coinglass, they are actively betting on the bullish trend and accumulating the asset.
Data reveals that traders were over-leveraged at $0.2369 on the lower side (Support) and $0.2465 on the upper side (Resistance). They have built $611K worth of long positions and $345K worth of short positions at these levels.
This indicates that the bet on the bullish side is notably higher than the bearish side, which explains traders’ bullish view.
Another on-chain metric reveals that exchanges have experienced a continuous outflow for the past four days. According to the data, exchanges recorded an outflow of $1.8 Million worth of POL tokens.
This significant outflow matches the current price consolidation phase. Polygon price movement suggests possible accumulation by investors and long-term holders.