Polygon transactions and active addresses surge as POL forms bullish breakout setup
Polygon (POL) has seen substantial on-chain growth even as price sits near $0.10. Nansen data shows Polygon was the second-fastest-growing chain over the past 30 days: transactions jumped ~90% to 172 million and active addresses rose ~30% to 14.2 million — levels ahead of Arbitrum, Aptos and Ethereum. Stripe-related integrations and merchant activity are significant drivers; Polygon reported $70M+ lifetime Stripe payments and is becoming a core chain for Stripe stablecoin flows. DeFi activity is robust: DEXes on Polygon processed over $210M in 24-hour volume and about $5.72B in the last 30 days. Technically, POL fell from a November high of $0.766 to around $0.10 and has formed a head-and-shoulders (bearish) pattern while trading below the 50- and 200-day moving averages. Offsetting this, on-chain strength accompanies a falling wedge and bullish divergence on momentum oscillators (PPO, RSI), suggesting a possible rebound toward $0.1520; a decisive break above that level would confirm a bullish breakout. Key takeaways for traders: on-chain usage and merchant integrations indicate growing fundamental demand, but price remains technically weak — watch $0.1520 for confirmation of trend reversal and manage risk given prior large drawdown.
Bullish
The news mixes strong on-chain fundamentals with a currently weak price. Large increases in transactions (+90%) and active addresses (+30%), plus significant merchant integrations (Stripe $70M+ flows) and robust DEX volumes, indicate rising real demand and utility for Polygon. Historically, similar cases where on-chain activity increased ahead of price (e.g., periods before Polygon and other L2s saw rallies) have preceded breakouts once technical patterns resolved. Technically POL has been weak (head-and-shoulders, below 50/200 MA) which keeps short-term downside risk elevated; however, the presence of a falling wedge and bullish divergences on momentum indicators raises the probability of a reversal. For traders: short-term action remains conditional — a confirmed break above $0.1520 would be a bullish trigger likely to attract buying and push price higher; failure to break and further downside would keep sentiment negative. Overall, the combination of improving fundamentals and a nascent bullish technical setup suggests an expected bullish impact, contingent on technical confirmation and continued on-chain adoption.