Crypto Expert Predicts Polygon (POL) Crash to $0.04 Soon
- A crypto analyst predicts that Polygon POL could drop to $0.04 soon.
- POL price has broken a key support level and remains in a bearish trend.
- Monthly and yearly losses for POL stand at 35 percent and 78 percent.
A crypto market analyst has projected a steep decline in Polygon (POL) prices, sparking investor concerns. Market expert Ali Martinez predicted that POL could crash to $0.04 as it remains in a bearish phase. Investors have grown increasingly pessimistic as the token trades around $0.2, reflecting a significant downturn.
Bearish Pattern Signals Further Decline
Ali Martinez suggested that Polygon is undergoing a significant market trend change, deepening its bear market conditions. According to the analyst, the descending triangle structure developed in POL over four years continues to exist. The support level at $0.32 has proven resilient yet the price keeps forming decreasing highs.
POL fell below its essential support level on February 25th, validating a negative movement. The analyst forecasts an 86% downward movement that will drive POL to a value of $0.04. The market shows signs of concern because POL has faced difficulties recovering its previous prices.
After its minor single-day price increase, POL keeps descending through the market. During the previous days trading period, POL maintained a static trend that fluctuated between $0.2035 and $0.2136 without showing indications of substantial buying activity. Market data reveals losses of 35% on a monthly basis and 78% throughout the year, with negative signs for additional downturns.
Declining OI Signals Waning Market Sentiment
The Open Interest value registered in the POL futures contracts has experienced a substantial decline since January, which reveals that market participants are losing their faith. Open Interest amounts on POL futures at Coinglass fell to $55 million in late January after reaching $119 million in previous estimates. According to market indicators, traders have gone towards more secure trades, and investors exhibit lower interest.
Source: Coinglass
Market participant optimism disappears because derivative trading activity has decreased. Financial investors demonstrate restraint toward Polygon because achieving strategic price levels remains challenging. Most market analysts predict that Polygon prices will continue dropping until brokerage firms make new purchases.
Crypto community members remain burdened by negative outlooks in their market discussions. The crypto market contains nervous dealers who try to avoid additional losses, alongside long-term owners who review their investments. Market uncertainty grows because weak support levels beyond $0.2 fail to appear.
The upcoming Federal Open Market Committee (FOMC) session has activated crypto trading investors. By analyzing the CME FedWatch Tool, we can determine that the U.S. Federal Reserve has a 99% chance of letting interest rates stay as they are. The market directions heavily depend on Fed Chair Jerome Powells speech.
Read more: https://www.tronweekly.com/crypto-expert-predicts-polygon-pol-crash/
Text source: TronWeekly
