Elite Analyst Warns Polygon Could Drop 83.9% – Here’s Why

Polygon Breaks Key Support Level: Bearish Indicators Emerge

According to crypto analyst Ali (@ali_charts), Polygon is currently breaking out of a multi-year descending triangle. This pattern is typically seen as a bearish formation, suggesting that the price may continue to struggle in the downward direction. The key support level around $0.32 has now been decisively breached, confirming a bearish breakout.

The breach of this horizontal support level signals a potential continuation of the downtrend. Historical patterns show that once a descending triangle breaks downward, the next support zone often forms significantly lower, increasing the chances of continued selling pressure in the market.

POL Price Targets: Potential for an 83.9% Drop

At the time of writing, Polygon’s price stands at $0.2546, reflecting a substantial decline from previous price levels. Technical analysis suggests that the breakout from the descending triangle could lead to a drastic decline toward the $0.041 support level. This price target represents an 83.9% decrease from the current market price, aligning with the bearish projections outlined by analysts.

Long-term technical indicators confirm a continued downtrend. Lower highs are consistently being formed, further reinforcing the sustained selling pressure. With no visible signs of bullish divergence, the outlook remains firmly bearish unless a significant reversal occurs.

Market Sentiment Remains Bearish: High Selling Pressure

The current market sentiment for Polygon (POL) remains notably bearish. According to CoinGecko data, POL has dropped 13.49% in the past 24 hours and 5.32% in the last week. This steep decline, coupled with heightened trading volume, indicates increased selling pressure, suggesting that traders are actively dumping their positions.

Traders are closely watching whether Polygon can reclaim key resistance levels. Specifically, the $0.32 mark, which was once a critical support zone, has now turned into resistance. If POL fails to reclaim this level, the bearish trend may accelerate, pushing the price closer to the projected target of $0.041.

Key Levels to Watch

For those tracking Polygon’s price action, here are the critical levels to monitor:

• Resistance: $0.32 (previous support now acting as resistance)
• Support: $0.041 (measured move target)

What’s Next for Polygon (POL)?

The technical outlook for Polygon remains grim unless there is a substantial reversal in market sentiment. As of now, there are no clear signs of an imminent recovery. Traders should proceed with caution, as further losses appear likely unless key resistance levels, particularly the $0.32 mark, are reclaimed. A failure to recover these critical levels could trigger a further decline toward the $0.041 support zone.

In conclusion, while the current price levels may offer some opportunities for short-term traders, the long-term outlook for Polygon appears to be fraught with downside risk. Investors should be cautious and closely monitor the key resistance and support levels to gauge potential market movements.