Key Takeaways
- Polygon (POL) has fallen by over 90% since its all-time high.
- The price bounced in April 2025 but has not reclaimed $0.37.
- Can POL close above the $0.37 area and confirm its trend reversal?
Polygon (POL) has struggled since reaching its all-time high in 2021. After its initial decline, the price regained its footing in July 2022.
However, it failed to reach new highs and started another prolonged downtrend in February 2023.
The downward movement accelerated in December 2024, leading to the lowest price since 2021.
While sentiment has turned positive because of a 70% bounce since April 2025, POL still trades below numerous critical resistances.
Can POL finally begin a bullish trend reversal, or will this rally fail like the other? Let’s find out.
POL Correction Ending?
The weekly time frame POL analysis shows that the price has fallen by over 90% since its all-time high in 2021.
Polygon’s downward movement accelerated after the price broke down from a symmetrical triangle and confirmed it as resistance (red icon) in December 2024.
Then, after breaking down from the $0.37 horizontal support area, POL fell to a low of $0.15 in April 2025, the lowest price since 2021.
While the POL price has bounced since, increasing by over 70%, it still trades below the $0.37 resistance. It must reclaim it to confirm its bullish trend reversal.
Luckily, technical indicators show some preliminary bullish signs. The Relative Strength Index (RSI) and Moving Average Convergence/Divergence (MACD) have generated bullish divergences (orange).
If the divergences transpire, the indicators will cross their bullish thresholds at 50 and 0, causing the POL price to close above $0.37.
Furthermore, the wave count shows a completed W-X-Y correction (red), where waves W and Y had the same length.
The POL price correction also ended at the 0.5 Fibonacci retracement support level, suggesting the decline is over.
So, the weekly time frame does not confirm the bullish trend reversal yet, but it is optimistic that it will occur.
POL Price Analysis: Rally Underway
Like the weekly time frame analysis, the daily one gives a bullish POL price prediction.
The POL price movement since April 7 is a five-wave increase (green), indicative of the start of a bullish trend.
The movement ended on May 11, marked by bearish divergences (orange) in the RSI and MACD.
If the count is accurate, POL is correcting in an A-B-C structure (red).
The correction could end between the 0.5-0.618 Fibonacci retracement support levels at $0.200-$0.215, after which the upward movement could continue.
Alternatively, falling below the April 7 bottom of $0.151 will invalidate this bullish prediction, leading to new lows.
Possible Upside in 2025
While the POL price has fallen significantly since 2021, it finally shows signs that its correction might be over.
If that is the case, the POL price will find support between $0.200 and $0.215 before moving higher.
A close above the $0.37 horizontal resistance area will confirm the bullish trend reversal.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Was this Article helpful?
