After weeks of uncertainty, Polygon price action has surprised many traders with a strong 5% rally, pushing POL above the $0.23 mark. While this uptrend has sparked optimism, the big question now is whether the current momentum has enough strength to carry the token beyond key resistance zones or if this is just a temporary bounce before another correction.
In this article, we’ll explore the technical indicators, historical context, and trader sentiment to understand where the Polygon price could go next and whether the $0.265 target is truly within reach.
Polygon Price Rebounds Strongly from Local Lows
The recent rally comes after a multi-week downtrend that saw POL test the $0.17 level in late July. From that bottom, the Polygon price has recovered more than 35%, showing renewed buying interest and higher volume across major exchanges like Coinbase.
Source: Trading View
On August 7, POL surged from $0.224 to $0.236, marking a decisive green candle that may signal a broader trend shift. Volume also rose to over 11 million, reflecting a spike in participation — typically a bullish sign.
Technical analysis shows POL has broken above short-term resistance at $0.23 and is now targeting the $0.265 level. This zone acted as a local top back in July and will likely serve as a key test for the current bullish momentum.
Key Technical Levels for POL
While the upside potential is clear, the Polygon price still faces several critical hurdles:
- Immediate resistance: $0.24 and $0.265
- Support zone: $0.215 to $0.22
- 200-day EMA: Approaching from above around $0.25
If bulls manage to close above $0.24 with strong volume, a breakout to $0.265 becomes much more plausible. However, failure to maintain above $0.23 could indicate a fading rally and set the stage for a retracement.
The RSI currently sits near 61, which means the token is approaching overbought territory — but still has room to move higher. MACD has flipped bullish, and the histogram shows increasing positive momentum.
Whale Activity and On-Chain Signals
Recent on-chain data indicates that POL saw a significant uptick in exchange outflows, suggesting that large holders are moving assets to cold wallets a signal often interpreted as a vote of confidence.
Moreover, wallet activity around the Polygon ecosystem has risen, and DeFi protocols such as QuickSwap and Aavegotchi are seeing renewed usage. This could further support the narrative that investors are returning to the network and accumulating POL ahead of a potential altcoin cycle.
Still, it’s worth noting that Polygon price rallies have previously been followed by sharp corrections, especially when resistance levels are not decisively broken.
Market Sentiment: Hopeful but Cautious
Social sentiment around Polygon is improving, but traders remain cautious. Several analysts have flagged the $0.265 level as a “make-or-break” point that could either confirm a bullish reversal or trigger a rejection and pullback.
If Bitcoin and Ethereum remain stable or climb, POL could continue its upward momentum. But any broader market weakness could quickly erase recent gains.
That said, Polygon remains one of the most recognized Layer-2 scaling solutions, with a growing ecosystem and real-world partnerships, including the recent POL rebranding and token migration.
Final Thoughts: What’s Next for Polygon Price?
The recent rally in Polygon price shows renewed strength and signals a potential shift in momentum. However, traders should stay vigilant as the token approaches the $0.265 resistance zone. If this level breaks, we could see an extended run toward $0.28 or even $0.30. If not, a retest of the $0.22–$0.215 support range could follow.
For now, POL bulls are in control, but they’ll need to prove they can hold the line if this breakout is to turn into a true trend reversal.
