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In this ongoing market downturn, the Polygon ecosystem (POL) has formed a strong bearish price action, suggesting that a massive price decline is on the way, as reported by a prominent crypto expert on X (formerly Twitter).
Polygon (POL) Bold Prediction Amid Market Downturn
Today, January 30, 2025, while examining the current outlook, the expert noted that POL is on the verge of a 44% price drop, potentially reaching the $0.23 level.
At present, POL is trading below the 200 Exponential Moving Average (EMA) on the daily time frame, indicating that it is in a downtrend. On the negative side, POL’s Relative Strength Index (RSI) stands just above the oversold area, suggesting that the asset has enough room to continue its price drop in the future.
Investors Found Dumping POL Tokens
Looking at the bearish price action and price prediction, investors and long-term holders have been seen dumping their tokens, as revealed by the on-chain analytics firm Coinglass. Data from the spot inflow/outflow shows that exchanges have witnessed an inflow of $2.56 million worth of POL in the past 24 hours.
In the cryptocurrency landscape, inflow refers to the movement of assets from holders’ wallets to exchanges, which potentially signals dumping and sell-offs. However, it has the potential to create selling pressure and lead to further price decline.
Current Price Momentum
POL is currently trading near $0.40 and has witnessed a price surge of over 2.75% in the past 24 hours. However, during the same period, its trading volume jumped by 15%, indicating lower participation from traders and investors compared to the previous day.