Polygon’s native token POL has delivered an impressive rally, surging 50% in recent days from $0.16 to around $0.25. The move comes as traders react to strengthening fundamentals, including robust DeFi inflows and renewed technical momentum. With the token up 3.43% in the last 24 hours and 6.54% over the past week, market participants are asking whether this breakout can extend toward the next resistance zone. If you, too, have a similar query, then this analysis is a must-read for you.
On the catalysts front, Polygon’s DeFi TVL shot up 7% in 30 days to $1.23 billion, driven by QuickSwap (+13.4%) and Polymarket (+30.2%). Net inflows of $123 million show capital rotating into Polygon-based applications, directly increasing POL’s utility demand as a gas token. This strength helped POL outperform sector peers, which averaged just 4.5% gains over the same period.
Leadership clarity also played a role, though with mixed timing. In an August 8 AMA, Polygon CEO Sandeep Nailwal highlighted plans to scale PoS to 5,000 TPS by September/October and expand AggLayer adoption. While these roadmaps reinforce long-term confidence, the token’s recent move appears more closely tied to technical triggers and DeFi growth than delayed AMA impact.
At $0.2533, POL price has broken above its 7-day SMA at $0.2456 and the Fibonacci 23.6% retracement $0.2464, levels that had capped price action in early August. The MACD histogram flipped positive at +0.00167, and the RSI at 67.4 still suggests room before overbought territory.
Successively, the next upside target is the August 14 swing high at $0.2636, roughly a 3.8% gain from current levels. A stronger push could aim for $0.2824, where prior supply zones align. However, a daily close below $0.245 would invalidate the bullish breakout and expose downside risk toward $0.242 or lower.
That being said, with the market cap at $2.65 billion and 24-hour trading volume at $455 million, liquidity remains strong. Sustained TVL growth above $1.3 billion could further validate bullish momentum.
The next key resistance sits at $0.2636, the August 14 swing high.
A daily close below $0.245 would weaken the bullish case.
A $123M DeFi inflow into Polygon applications has boosted POL’s utility.
PEPE price is currently testing a crucial support level, raising concerns among traders about whether…
The crypto market is heating up as Ripple’s XRP shows signs of bullish momentum while…
XRP price is showing early signs of recovery this September. Investors watch ETF approvals, XRPL…
Crypto markets in 2025 are heating up as major altcoins consisting of XRP and Solana…
A rumor has been circulating online claiming that the Texas Senate passed an “XRP Reserve…
LINK price has remained under pressure through September, slipping into a bear market and briefly…