Support test: Can Polygon hold $0.0891 and avoid deeper losses?

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Polygon slides 7.06% today to $0.0912

Highlights

Polygon trading volumes have consistently exceeded the 30-day average, indicating substantial participation and elevated liquidity in recent sessions.
Persistent high-volume activity has not yet prevented continued selling pressure, with prices under broader downside forces despite market engagement.
POL/USD trades below key short- and medium-term moving averages, with bearish momentum signals and a projected range of $0.0891 to $0.0936 for the next 2 to 3 days.

Elevated trading volumes drive liquidity amid persistent selling pressure

Polygon has experienced notable trading activity, with volumes consistently surpassing the 30-day average as reported by Diariobitcoin. Elevated trading volume reflects a heightened level of market participation and provides the liquidity necessary for the pronounced price swings seen in recent sessions. Further episodes of strong volume, including on September 9, underscore continued engagement from participants, though price action has remained under broader selling pressure.

Downside bias sustained as oscillators flag oversold and volatility spikes

Turning to technical factors, POL/USD is trading below its MA-20 and MA-50, reflecting persistent short- and medium-term downside pressure, while it remains above the MA-200. Immediate resistance is defined by the Ichimoku Kijun at $0.0955. Both MACD and RSI signal a sell bias, and ADX suggests neutral trend strength. Momentum readings—including RSI, Stoch RSI, and CCI—indicate oversold conditions, while Bull/Bear Power points to seller dominance in the intraday session. Awesome Oscillator is also aligned with the current downtrend, and recent price action sits near the daily low amid high volatility, with little to no intraday gap observed.

Range-bound outlook likely as upside breakout remains improbable

For the next two to three trading days, POL/USD is expected to consolidate within the range of $0.0891 to $0.0936, with a very low probability of an immediate upward move and a high likelihood of continued decline. The baseline scenario anticipates sideways action inside this volatility band. A break above the $0.0955 resistance would be needed to shift momentum toward a bullish scenario, while a decisive move below $0.0891 would reinforce the bearish outlook in the near term.

Anton Kharitonov, expert at Traders Union, sees persistent downside momentum in Polygon despite recent spikes in trading activity. He notes that selling pressure dominates, with the price stuck below key moving averages and indicators affirming a bearish bias. Consolidation around current levels is likely unless $0.0955 is reclaimed. "Until POL/USD can break above immediate resistance, I remain defensive and expect extended weakness in the near term."

Previously it was reported that Polygon had established a firm upward momentum supported by protocol improvements and strong fundamentals. The current technical outlook now signals a shift to downside pressure, with traders advised to monitor $0.0891 as the critical support level that could define near-term risk.

Source of Data: POL Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

The information is based on forecasts and does not constitute investment advice or a guarantee of future results. Market conditions may change. See our Disclaimer and Editorial Integrity for details.