The price of POL has stabilized near September lows, signaling potential bullish momentum ahead.
Recent price action shows a double bottom pattern, suggesting a trend reversal.
Traders should exercise caution as POL navigates critical support levels for recovery.
Polygon (POL) has been experiencing wild price swings since December 2021. After hitting an all-time high near $3, this token endured a tough correction. Now, as POL hovers around recent lows, signs point to a possible upward movement.
Investors are eagerly watching these developments, hoping for a resurgence after a lengthy downturn. Can Polygon (POL) meet these expectations?
https://twitter.com/cryptonewsfocus/status/1844352705265025393 Analyzing Polygon's Price Action
The journey of POL has been challenging. By June 2022, the price dropped to $0.36, wiping out earlier gains. Two recovery attempts since then returned to this vital support level.
The $0.36 mark now serves as a crucial threshold, reflecting the market's struggle for stability. Recent price action shows a WXY corrective pattern. The low of $0.35 on September 6 might indicate the end of this corrective phase.
If this analysis proves accurate, POL could be on the verge of a bullish trend. However, caution remains key. The lengthy correction raises questions about the timing of any rebound. The market may face one final retest of the $0.36 area or dip slightly lower to $0.32 before bouncing back.
Price Prediction: A Path to Recovery
On March 13, POL soared to $1.30, an impressive 85% increase from the January low of $0.70. Although a setback below $0.60 occurred by April 13, this decline was less severe than the previous mid-September drop.
Recent lows of $0.36 in August and September formed a double bottom pattern, suggesting a potential shift in momentum.Wave structure analysis indicates this downtrend has ended, signaling the completion of wave Z in the WXY correction.
The lows recorded reinforce a critical support zone, setting the stage for a potential upward movement. From September 6 to September 13, POL rallied by 25%, reaching a high of $0.45. This increase hints at the start of a new uptrend.
However, the following advance failed to break the previous high, retreating to $0.40. This pullback marks a key moment. Establishing a higher low in the next retracement could confirm a bullish outlook.
If this pattern unfolds, a five-wave upward movement may drive POL toward a near-term target of $0.70, with even greater gains expected by the end of 2024. While POL shows signs of recovery, traders should tread cautiously.
The post POL Holds Steady at September Low, Bullish Momentum Builds appeared first on Crypto News Land.
