Polygon’s POL token is trying to stabilize after a steep drawdown from its January peak. According to data cited by crypto.news, POL dropped more than 50% from that high and touched a yearly low of $0.088 on Feb. 11, as broad market weakness followed heavy liquidations in leveraged trading and Bitcoin slipped below several support zones under macroeconomic and geopolitical pressure.
Since then, the token has recovered off the low and spent time consolidating in the $0.100 to $0.115 range. The current setup is drawing attention because the network’s underlying metrics have improved even as price action remains compressed.
Stablecoin growth and app revenue are picking up
One of the strongest data points comes from Polygon’s stablecoin market. DeFiLlama figures show total stablecoin supply on the network has climbed to $3.26 billion, up from roughly $2.4 billion at the beginning of February. A larger stablecoin base usually points to deeper on-chain liquidity.
At the same time, weekly revenue generated by DeFi applications on Polygon has risen by nearly 70% over the same period. Those two moves together suggest stronger network activity, with more capital and usage flowing through the chain.
Token burns and chart structure are adding to the case
Polygon has also completed the burn of more than 100 million POL tokens. Burned tokens are permanently removed from circulation, reducing supply and reinforcing a scarcity narrative that short-term traders often track closely.
On the chart, the daily timeframe shows POL nearing a bullish crossover between the 50-day and 100-day moving averages. If confirmed, that signal is often read as an early sign that trend conditions are improving, though price still needs to clear overhead resistance before that view gains traction.
$0.122 remains the first major test
The next level overhead sits at $0.122, described in the article as a strong pivot reverse level in the Murrey Math framework. Bulls need to reclaim that area to strengthen the case for a trend reversal.
If that happens, traders may start looking back toward the January high of $0.184. Based on the article’s cited current price of $0.112, a move to that level would represent roughly a 64% gain. If support fails instead, a break below the Murrey Math ultimate support at $0.097 could open the door to a return to the yearly low of $0.088.
The source article also states that the material is provided for educational purposes and does not constitute investment advice.