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Polygon price continued its strong uptrend and approached its make-or-break level as its ecosystem improved.
- $POL price has rebounded in the past few days as cryptocurrencies rally.
- The stablecoin supply in the Polygon network has soared.
- The total value locked in its decentralized finance has jumped.
Polygon ($POL) token jumped for seven straight days, reaching its highest level since July 23.
DeFi, stablecoin, and NFT growth
The $POL price continued its strong rally as third-party data pointed to strong gains in the network. CryptoSlam numbers show that the sales in its non-fungible ecosystem rose by 53% in the last 30 days to $17.8 million, led by Courtyard.
More data shows that the stablecoin supply in the Polygon network jumped by 6.35% in the last 30 days to $2.6 billion. Most of these stablecoins are USDC followed by Tether’s USDT.
The adjusted transaction volume of stablecoin in the network jumped by 70% to $38.5 billion. This surge occurred as the number of stablecoin transactions on the network increased by 4.68% to 95.1 million.
Users love Polygon and other layer-2 platforms due to their substantially lower transaction costs and faster execution times.
Polygon’s challenge is that, while it was the first mainstream layer-2 network, newer contenders have taken market share. Base, the L2 network owned by Coinbase, has $4.2 billion in stablecoins, while Arbitrum has $4 billion.
Polygon’s DeFi ecosystem is also performing well, with its total value locked increasing by 10.9% over the last 30 days to $1.35 billion.
Polygon price technical analysis
The daily chart indicates that the $POL price has remained relatively stable over the past few months. It has remained inside the key support and resistance levels at $0.1655 and $0.2620 since March.
Polygon price has moved above the 50-day Exponential Moving Average, while the MACD and the Relative Strength Index have pointed upwards. It is also nearing the 23.6% Fibonacci Retracement level.
Therefore, the token will likely continue rising as bulls target the key resistance at $0.3858, up by 52% from the current level. These gains will be confirmed if it moves above the resistance at $0.2620.
The alternative scenario is where the Polygon token pulls back and retests the support at $0.1655.