Polygon Stocks Rise 046% Amid $100 Billion Volume Milestone on Uniswap
1min read Polygon, a prominent blockchain platform, is on the verge of achieving a significant milestone, nearing $100 billion in all-time volume on the Uniswap Protocol. This surge in trading activity underscores its growing importance in the cryptocurrency space, signaling increasing recognition and adoption. However, the sustainability of this momentum and Polygon's ability to maintain its position as a key player in the market remain uncertain.
At the time of writing, POL was trading at $0.2422, reflecting a modest 0.46% increase over the last 24 hours. The price recently broke below a key support level and was consolidating within a descending symmetrical triangle. The $0.2294 support zone is crucial to watch. If it holds, a rebound towards the $0.3051 resistance level is possible. The Relative Strength Index (RSI) sat at 34.33, indicating that the asset was in the oversold zone, suggesting that a reversal may be on the horizon. However, if the price continues below this support, it could face further declines.
Polygon’s address statistics revealed a concerning downward trend in network activity. New addresses have fallen by 13.43%, and active addresses have decreased by 8.74% over the past week. Although the network still sees activity during periods of market volatility, the overall trend indicated a reduction in engagement. This decrease in both new and active addresses signals a potential slowdown in adoption.
Polygon’s transaction statistics indicated a slowdown in on-chain activity. The volume of transactions in the $0.00 to $1.00 range has dropped by 12.63%, while transactions within the $1.00-$10.00 range have decreased by 31.33%. Smaller transactions, which generally indicate regular network engagement, are in decline. This downturn raises concerns about the overall activity level within the network. However, larger transactions have seen a more moderate decline, which indicates that some high-value investors are still active.
Polygon’s exchange reserves have decreased by 1.05% in the past 24 hours. A reduction in exchange reserves typically signals less selling pressure, as fewer coins are available for liquidation on exchanges. This decrease in reserves suggests a more stable market with less immediate downward pressure on the price. A further decline in reserves could indicate that 