Polygon (POL) Flashes Bullish Reversal Signal: Is a Surge to $0.1290 Imminent?

Polygon's native token, POL, is hinting at a major momentum shift. Technical indicators are aligning, suggesting the recent downtrend might be exhausted. The charts are whispering about a potential breakout—and the target is clear.

Reading the Technical Tea Leaves

Forget the noise. The price action is carving out a pattern that seasoned chart watchers recognize. Key support levels have held firm under pressure, while on-chain metrics show accumulation is picking up behind the scenes. It's the classic setup before a leg higher.

The $0.1290 Target: More Than Just a Number

That figure isn't plucked from thin air. It represents a critical technical juncture—a confluence of a prior resistance zone and a key Fibonacci retracement level. A clean break above it would signal a decisive shift in market structure, potentially opening the path for a more sustained recovery. Of course, in crypto, a 'sustained recovery' often just means a brief pause before the next round of manic volatility—the only constant in this market, aside from influencers promising life-changing gains.

The path forward hinges on a simple, brutal rule: follow the momentum. If buying pressure validates this reversal signal, the rally could gain steam fast. If not, it's back to the drawing board. No second chances, just the next trade.

POL Set for Bullish Reversal After 1.5-Month Downtrend

After the 1.5-month downtrend, it appears Polygon (POL) could be headed for a potential bullish reversal. POL recently escaped the 85-day falling wedge pattern, a chart pattern known to reverse trends. Looking at the charts, it appears that POL is in an oversold condition on the weekly charts, with the Ichimoku chart pointing out the unstable zone, signifying a potential recovery.

On the technical side, there are also indicators of a bullish outlook for POL. There is a double bottom formation taking shape on the weekly chart, and this indicates a weakening in the selling pressure. At the same time, a bullish divergence is taking shape on the daily Relative Strength Index (RSI), and this indicates a reversal in market momentum even as the price falls.

Source: Crypto_jobs

Although all these signs indicate positive developments, it is important to exercise caution. The medium-term levels of resistance that must be broken successfully include $0.1210 and $0.1290, and increased buying volume is also required for a positive trend indication. Until such a trend is noted, traders may witness restricted gains.

Also Read: Polygon price Outlook: Can POL Rebound Toward the $0.1300 Target?

Technicals Hints Reversal as Price Holds Above $0.10625

The chart displays that POL’s price is just above the key bottom price of $0.10625. Currently, the price is trending below the longer-term EMAs (100 & 200 EMAs) but also hovering above the short-term EMAs (20 & 50 EMAs), suggesting a neutral and bearish market environment. Support is offered by 0.10625, which is a key level to watch in coming sessions.

Source: TradingView

The RSI is currently at 58.27, reflecting a neutral to bullish outlook, which is neither overbought nor oversold. As the RSI is above 50, it reflects mild support for the upside momentum. There are no critical levels on either the upside or downside that could affect the price action of the token.

Also Read: Polygon (POL) Price Outlook: Momentum Builds Toward $0.220 Resistance Level