Polygon (POL) Plummets to $0.09 Amid Market Liquidation: Can On-Chain Utility Spark a Rebound?
Polygon (POL) is trading at about $0.09, representing a steep 12.4% decrease in the past 24 hours as the cryptocurrency market faces one of
Quick overview
- Polygon (POL) has experienced a 12.4% drop in price, trading at approximately $0.09 amid a significant liquidation crisis in the cryptocurrency market.
- Despite the price decline, Polygon's on-chain fundamentals remain strong, with $3.50 billion in transactions recorded in Q4 2025, reflecting substantial network growth.
- The current market conditions have led to increased selling pressure on high-beta cryptocurrencies like POL, with trading volume surging by 122% to $202.9 million.
- Technical analysis indicates that POL is at a critical support level around $0.085, with potential for a bounce if broader market sentiment improves.
Polygon (POL) is trading at about $0.09, representing a steep 12.4% decrease in the past 24 hours as the cryptocurrency market faces one of its most severe liquidation cascades in recent months. The altcoin’s problem comes amid excellent on-chain fundamentals that saw the network conduct $3.50 billion in payments during Q4 2025.
Market Carnage Drives Indiscriminate Selling in POL
The present price behavior reflects a broader systemic deleveraging crisis rather than Polygon-specific weakness. Over $1.03 billion in Bitcoin BTC/USD liquidations caused a domino effect throughout cryptocurrency markets, with the whole crypto market cap plummeting 8.38% in 24 hours. The Fear & Greed Index collapsed to an extreme fear reading of 5, while crypto’s 0.92 connection with the S&P 500, which dropped 2.21%, demonstrates the macro-driven character of this sell-off.
High-beta cryptocurrencies like POL are feeling the brunt of capital flight to safety. The Altcoin Season Index stands deep in “Bitcoin Season” territory at 22, signifying significant rotation away from alternative cryptocurrencies. POL’s trading volume jumped 122% to $202.9 million, suggesting severe selling pressure as fear gripped the market.
Polygon’s Strong Fundamentals Provide Silver Lining
Beneath the pricing turmoil sits a network seeing genuine expansion. Messari’s Q4 report stated that Polygon transacted $3.50 billion across over 50 payment-focused applications, a 96% rise from Q3 and nearly quadruple the year-ago level. Ten stablecoin card systems moved $363 million via Mastercard and Visa rails, with acceptance driven by everyday spending rather than speculative activity.
Major integrations proceeded throughout the quarter. DeCard supported USDC and USDT merchant payments, Flutterwave provided cross-border business payments across 30 African nations, and Revolut incorporated low-cost stablecoin transfers. Stripe’s continuous development of USDC-based subscription capabilities further strengthens Polygon’s stance in the payments infrastructure market.
Real-world asset tokenization also gained traction, with Polygon ending Q4 holding almost $1.10 billion in RWAs, ranking eighth globally. Stablecoin supply grew to roughly 3 billion, headed by USDC at $1.34 billion. Geographic diversification is demonstrated by the $1.18 billion in non-USD stablecoin volume that Latin America produced.
POL/USD Technical Analysis Points to Critical Support Test
POL now trades at a significant inflection point. The yearly low around $0.085 represents the important support level that must hold to prevent additional decline toward $0.075. However, technical indicators show severely oversold circumstances that might trigger a dramatic rescue bounce if broader market mood stabilizes.
The token recently broke above declining resistance and maintains structural integrity despite momentum stopping. Daily transactions surged to 6.6 million, the highest in a month, while $7 million in net bridge inflows from Ethereum ETH/USD and $4.2 million in CEX accumulation this week imply smart money continues positioning despite price decline.
Polygon burned almost 26 million POL tokens, supporting the deflationary theory. By the end of 2026, they hope to have burned 3% of the whole supply. As network utilization rises, this supply reduction technique may enhance value accrual.
Polygon (POL) Price Prediction: Volatility Ahead with Conditional Upside
- Near-term forecast (1-2 weeks): Bearish to neutral. POL likely trades between $0.085-$0.105 as larger market conditions determine direction. A break below $0.085 offers $0.075 as the next downward target.
- Medium-term prognosis (1-3 months): Cautiously bullish if Bitcoin stabilizes above $65,000. Short covering toward $0.12–$0.15 might be triggered by regaining $0.105 as oversold conditions ease and cryptocurrency anxiety wanes.
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