March wasn't a favorable month for Polygon (POL), which ended in a downward trend. Let's look at three possible scenarios for April: pessimistic, realistic, and optimistic.
Overview of Polygon's Price Changes in March
POL spent March within a descending channel, gradually dropping from around $0.26 to $0.20. Early March saw a failed attempt to break the $0.30 resistance, leading to increased selling pressure. Mid-March brought a temporary price rally, but it quickly faded, ending with the POL price approaching the lower boundary of the descending channel, staying above a key multi-month support zone.
Pessimistic Scenario
In a bearish scenario, POL could break below its support zone if Bitcoin continues to decline or concerns about POL's inflationary token model worsen. A breakdown of the descending channel could trigger panic among retail investors and exits by large holders. The price may revisit previous support levels between $0.16 and $0.20 if the current selling pressure persists.
Realistic and Optimistic Scenarios
The realistic scenario assumes a price stabilization between $0.23 and $0.30, depending on market conditions. If the $0.20 support holds and Bitcoin shows stability, POL's price could gradually rise. In the optimistic scenario, a significant POL rally is possible if the overall market turns bullish in April with new partnership announcements. Prices could reach $0.35-$0.50 under favorable conditions.
POL's performance in April will depend on the $0.20 support level and Bitcoin's market state. Traders should monitor large investor activity and trading volumes for decision-making.
