Polygon is trading above $0.1200 on Tuesday, extending its winning streak to five consecutive days following a 45% rally last week.
The token has reclaimed the psychological $0.1000 level and broken above a long-term descending resistance line, strengthening its near-term technical outlook.
Renewed network activity also supports the recovery, with weekly transactions and fee-based economic value increasing.
However, POL’s rapid advance has pushed momentum indicators to extreme levels, raising the likelihood of consolidation or a corrective pullback.
Polygon transactions rise to 41.44 million
Polygon recorded approximately 41.44 million transactions last week, according to Blockworks data.
That figure increased from 38.45 million during the previous week, representing weekly growth of approximately 7.8%.
Although transaction activity remains below the 71.27 million recorded in mid-March, it is well above the late-2025 weekly average of approximately 30 million.
The latest increase suggests users and applications are becoming more active on the network after the decline from its March peak.
Sustained transaction growth could strengthen the fundamental case for POL by increasing demand for blockspace and network services.
Polygon’s Real Economic Value increased to approximately 6.06 million POL last week from 5.65 million POL during the previous period.
The metric combines base transaction fees and priority fee tips paid by users. Priority fees accounted for approximately 2.44 million POL of the latest total.
Polygon’s weekly REV has remained above 5 million POL since early May, reflecting consistent demand for network activity.
The latest increase represents growth of approximately 7.3% from the previous week.
Higher REV indicates that users are paying more to access the network, although its dollar value depends on POL’s market price.
POL breaks above long-term resistance
The POL/USD 4-hour chart remains bullish as POL’s technical structure has improved significantly during the past ten days.
The token is now trading above its 50-day Exponential Moving Average at $0.0833 and its 200-day EMA at $0.0967.
It has also broken above a long-term descending resistance line near $0.0840. The breakout and subsequent recovery above $0.1000 suggest buyers have regained control of the trend.
Holding above the 200-day EMA would help preserve the bullish structure if POL enters a short-term consolidation phase.
The Moving Average Convergence Divergence indicator continues to rise in positive territory. Its expanding histogram above the zero line indicates that bullish momentum remains strong.
However, the 4-hour Relative Strength Index stands near 75, placing POL in overbought territory.
Such an elevated reading reflects intense buying pressure but also warns that the price has risen too quickly relative to its recent trading history.
An overbought RSI does not guarantee an immediate decline. Still, it increases the risk of profit-taking, sideways consolidation, or a pullback before the rally resumes.
If the rally continues, POL’s first major target is the October 11 low at $0.1795. A move from $0.1220 to that level would represent a gain of approximately 50%.
A decisive break above $0.1795 could shift attention toward the psychological resistance at $0.2000.
Reaching those levels would require sustained buying pressure and continued support from broader cryptocurrency market conditions. Given the extreme RSI reading, POL may consolidate before attempting those targets.
The psychological $0.1000 level provides Polygon’s first major support. A pullback below that area would place the 200-day EMA near $0.0967 in focus.
Further selling could push POL toward the reclaimed trendline around $0.0840 and the 50-day EMA at $0.0833.
Those two levels form a broader demand zone that could attract buyers during a deeper correction.
For now, Polygon’s outlook remains bullish while POL holds above $0.0967–$0.1000. However, its overextended momentum leaves the token exposed to short-term volatility.
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