Polygon's Institutional Push Could Spark $0.30 Breakout

Polygon’s native token, POL, has entered September with a slight upward trajectory, trading at $0.2775 with a 1% increase on the day, according to recent market data [1]. Trading volume has surged by over 40%, signaling increased trader interest and activity as the price approaches key resistance levels [1]. Following a period of consolidation in August, the token has shown signs of renewed upward momentum, supported by continued network growth and the near-complete migration from MATIC to POL [1]. Analysts are now closely watching whether this trend can be sustained throughout the month [1].

On the 4H chart, POL has been gradually climbing from its August lows of approximately $0.19, reaching as high as $0.30 last week before retreating slightly [1]. Currently, the token is consolidating just below the $0.29–$0.30 resistance zone, a critical level that bulls must break to continue the upward trend [1]. Key support levels are observed around $0.26–$0.27, and as long as this floor holds, another breakout attempt appears plausible [1]. A successful breakout above $0.30 could push the price toward $0.32, with further upside potential to $0.34, though a breakdown below $0.26 could lead to a retest of $0.24, with additional risk near $0.22 [1].

The broader price trend remains constructive, with higher lows forming since mid-August, suggesting a bullish bias in the short term [1]. This is reinforced by rising trading volume and increasing open interest, particularly in derivatives markets, indicating heightened speculative activity [1]. Although net long positions have not yet reached peak levels, suggesting a degree of caution among traders, the gradual increase in shorts could support a bullish move if the price breaks through the $0.30 threshold, potentially squeezing short positions and accelerating upward movement [1]. On-chain metrics, however, show a mixed picture—while total value locked (TVL) in Polygon has surged to $1.23 billion in August, with notable growth in DeFi protocols like QuickSwap and Polymarket, retail engagement has softened, with active weekly addresses dropping to around 2.2 million [1].

A key catalyst for future price movement may lie in the continued adoption of the Polygon Network. The U.S. Department of Commerce recently selected Polygon as a platform for publishing key economic data on-chain, which could enhance the network’s institutional credibility and drive long-term price appreciation [2]. Additionally, the Philippine government is considering the use of Polygon to secure national budget-related documents, further expanding the project’s real-world utility [2]. On the technical side, a golden cross has been confirmed on the daily chart, with the 50-day simple moving average crossing above the 200-day SMA, reinforcing a bullish outlook [2]. The Supertrend indicator has also turned green, often interpreted as a buy signal for momentum traders [2].

Short-term price targets suggest a focus on the $0.30 level as the next key inflection point. If Polygon can break through this resistance, analysts estimate a potential move toward $0.32–$0.34, driven by increased buying pressure and institutional adoption [1]. Conversely, a breakdown below the current consolidation zone could lead to a retest of the $0.24 support level, with further downside risk if the bearish bias persists [1]. Network developments, including upgrades to USDT0 and the deployment of AI tools, could also serve as additional catalysts for price appreciation if they attract broader user adoption in the third quarter [1].

Source:

[1] Polygon (POL) Short-Term Price Forecast For September (https://captainaltcoin.com/polygon-pol-short-term-price-forecast-for-september/)

[2] Top reasons why POL price may jump soon (https://crypto.news/top-reasons-why-pol-price-may-jump-soon/)