Polygon (POL) is at an important point on the chart right now. The price is testing a key resistance line, which could determine its next direction. According to the analyst World Of Charts, a breakout could lead to a strong midterm rally, possibly doubling the current price.
At the time of writing, the price of POL is around $0.2235. Since December 2024, it has been moving inside a downward trend. This trend formed a channel, with prices making lower highs and lower lows over time. The top of this channel is the main resistance level, and right now, POL is pushing up against it.
This is a critical moment. If the price breaks above this trendline, it could be the first sign that the downtrend is ending. But so far, the breakout hasn’t happened yet. The price is still testing this level, and traders are waiting for a clear move before calling it a reversal.
What you'll learn 👉
Buyers Built a Strong Base First
Before reaching this resistance, POL traded sideways between $0.19 and $0.21. It stayed in that range for a few weeks, which helped build a base. This kind of movement is often called consolidation or accumulation. It means that sellers were losing power while buyers started stepping in.
World Of Charts pointed out that this zone could now support a bigger move. If the price breaks out, that base may serve as the launch point for a new uptrend.
What Happens If the Price Breaks Out?
If POL manages to break above the resistance line with strong volume, the next target could be between $0.36 and $0.38. That would be a big move, more than double the price from its low in April, which was around $0.17.
World Of Charts expects that the price may pull back slightly after breaking out, and then continue higher. This is a common pattern. A small pullback after a breakout often helps confirm the new trend before it picks up again.
Read Also: Multiple Metrics Hint at Major Kaspa Rally — Just How High Can KAS Go?
In a tweet, World Of Charts said POL is testing the descending trendline and they expect a breakout, with a potential 2x move in the midterm. It’s important to understand that this is an expectation, not a guarantee. The breakout hasn’t happened yet.
Still, the setup looks strong. If the price does move above this resistance level, it could lead to a sharp rally. Until then, it’s a waiting game. Traders are keeping a close eye on the charts, ready to act if POL confirms the breakout.
Follow us on X (Twitter), CoinMarketCap and Binance Square for more daily crypto updates.
Get all our future calls by joining our FREE Telegram group.
We recommend eToro
Wide range of assets: cryptocurrencies alongside other investment products such as stocks and ETFs.
Copy trading: allows users to copy the trades of leading traders, for free.
User-friendly: eToro’s web-based platform and mobile app are user-friendly and easy to navigate.
