Polygon price has pulled back and entered a local correction, falling by approximately 16% from its highest point this month. Despite this pullback, the Polygon (POL) token is currently trading at $0.1540, with technical indicators suggesting a potential surge as its underlying fundamentals continue to improve.
Data compiled by Nansen indicates a significant increase in Polygon's network activity over the past few weeks. Network fees have surged by 235% to $2.64 million, positioning Polygon as one of the fastest-growing networks in the cryptocurrency industry. In contrast, Ethereum's fees have dropped by 32%, and Avalanche's fees have fallen by 42% during the same period.
Polygon's active addresses have seen a rise of 15%, reaching 14.7 million, while its total transactions have hit 178 million. For comparison, Ethereum recorded 14.5 million active addresses and handled 56 million transactions.
These robust network metrics have contributed to a surge in POL's burn rate, with millions of tokens being removed from circulation daily. The growth trajectory suggests that this upward trend is likely to accelerate in the coming months, as Polygon has strategically positioned itself as a preferred blockchain for the payments industry.
The network has already secured agreements with major players in the financial sector, including Mastercard, Shift4 Payments, Revolut, and Stripe. These partnerships are expected to further drive adoption and utility for the Polygon network.
Further strengthening its position, Polygon recently announced the acquisition of Coinme and Sequence. These strategic acquisitions enable Polygon to enter the US-regulated market, where it will offer fiat on-ramp and off-ramp solutions, enhancing accessibility for users.
Beyond its growing presence in payments, Polygon is also the dominant chain for the burgeoning prediction market, powering Polymarket, the industry's largest platform. Polymarket has facilitated over $2.59 billion in volume within the last 30 days, highlighting Polygon's versatility and adoption across various decentralized applications.
Polygon Price Technical Analysis
On the daily chart, the POL price has shown a significant rebound over the past few months. After reaching a low of $0.0974 earlier this month, the price experienced a surge before retreating to $0.1520 as investors took profits. This current pullback suggests that the price may be entering the second phase of the Elliott wave theory, which is often followed by a stronger upward trend.
The POL token has maintained its position above the 50-day Exponential Moving Average (EMA) and the Supertrend indicator. Based on these technical indicators, the most probable scenario is a rebound that could lead the price to test the key resistance level at $0.2960. This target represents the price's highest point in September and is approximately 90% higher than the current trading level.