- POL price has approached critical resistance, with a double bottom pattern hinting at a potential breakout.
- Whale accumulation and rising adoption rates have signaled bullish momentum for POL as traders monitor key levels.
Polygon (POL) has shown steady growth with a notable price increase of 4.69% in the last 24 hours, taking its price to $0.3956 at the time of going to press.
Recent trading volume reached $71,037,848, reflecting growing interest from traders.
This price action has been confined within a defined range, but technical indicators suggest that a significant move could be imminent.
The current POL price is trading in a range between the key support at $0.3740 and the resistance at $0.4045. The price is hovering close to the resistance level, suggesting the possibility of a breakout.
Technical analysis indicates that an extended close above $0.4045 could trigger further upside, targeting a move towards the $0.50 level. This would represent an estimated 23.12% upside from current trading levels.
Source: TradingView
Double Bottom Pattern Confirms Uptrend Potential
The chart also displays a classic double bottom pattern, signaling a bullish reversal that often marks the end of a downtrend.
This pattern forms after two consecutive dips at approximately the same level, highlighting strong support. The break above the neckline of the double bottom has already taken place, confirming the start of an uptrend.
The measured move from the double bottom points to a potential target near the $0.4100 level, slightly above the current price of $0.3956.
Source: TradingView
At press time, the Relative Strength Index (RSI) stands at 63.94, near overbought territory, signaling strong buying momentum.
However, this also suggests that the price could see a short-term pullback or consolidation before any further upward movement.
Other momentum indicators, such as the MACD, support the bullish outlook. The MACD line has crossed above the signal line, a typical indicator of positive momentum.
The green, ascending histogram bars further support this uptrend, confirming the strength of the recent breakout.
Increasing adoption rate indicates growing interest
Recent the data indicates an increasing adoption rate for POL, reaching 38.68% on September 18, suggesting increased user engagement despite a slight price drop to $0.3816.
The average adoption rate over the last 30 days was 30.63%, with a peak of 43.60%, highlighting fluctuating but generally positive adoption trends.
This growing interest could be a precursor to further price movements if adoption continues to increase.
Source: IntoTheBlock
According to a recent report by AMBCrypto, POL whales made significant moves after the recent upgrade.
Large holders have been moving POL tokens from exchange wallets to cold wallets, often suggesting accumulation and reduced selling pressure.
Read Polygon (POL) price prediction for 2024-2025
This change may have contributed to the recent price anomalies observed, as reduced availability on exchanges can support upward price movements.
This behavior indicates that major holders may be positioning themselves for future gains, adding another layer of bullish sentiment to the current market outlook.
