Polygon (POL) is showing early signs of a potential rebound after testing the lower boundary of a falling wedge on the 2-day chart.
According to the crypto analyst Butterfly, buyers are stepping in aggressively at this support zone, signaling strong accumulation. This area is becoming a key battleground as selling pressure weakens and demand gradually builds momentum.
Source: Butterfly’s X Post
If this support holds, a bullish reversal could develop, with the wedge pattern typically favoring upward breakouts. In that scenario, POL may target the $0.35 resistance level as momentum expands.
Traders are closely watching for confirmation signals, as renewed buying strength could trigger a sharp move up from current consolidation levels.
Also Read: Polygon Stablecoin Supply Hits $3.57 Billion, Sets New ATH
According to TradingView, the relative strength index for POL sits at 49.92, indicating a neutral market stance. It remains positioned between overbought and oversold thresholds, signaling total equilibrium.
The RSI line tracks its signal line closely, reflecting a lack of immediate momentum. This sideways movement suggests investors are waiting for a decisive breakout before committing to a clear direction.
Source: TradingView
The MACD also presents signs of consolidation, as the blue line is coinciding with the signal line close to zero.
There is a negligible positive value of 0.00007, resulting in minuscule green bars in the histogram that reflect low bullish momentum. Because these lines are close together, the prevailing trend is weak.
Despite this consolidative price movement, there is an uptick in actual settlement transactions on the Polygon blockchain, where over $300 million has already been sent using Mayan.
This is evidence of how rapidly Polygon is being adopted as a high-speed and cost-effective blockchain to conduct cross-chain settlements, whereas Mayan enables efficient movement of liquidity between ecosystems.
Source: Mayan’s X Post
The growing momentum indicates that Polygon may be transitioning from being a scalability layer to becoming a full-fledged settlement layer for decentralized finance and payments.
With the improvements made to the cross-chain routing system, experts believe it could eventually reach the billion-dollar level.
This article contains market analysis and price predictions. These are not guarantees. Crypto markets are volatile. Always DYOR. Not financial advice.
Also Read: Polygon (POL) Descending Wedge Signals Potential Bullish Breakout Toward $0.112
