MATIC Tests Key Levels While Network Activity Expands
Polygon’s native token MATIC is hovering near a major support zone as traders watch for signs of a trend reversal. Recent chart readings show that the token is struggling around the 0.33 to 0.35 dollar range, a level many analysts view as essential for maintaining short term stability.
Technical indicators paint a mixed picture. MATIC continues to trade below major moving averages, and bearish momentum still appears on tools like MACD. However, some oversold signals are showing up. The Relative Strength Index has slipped toward 38, which suggests weakening selling pressure. Bollinger Bands also show MATIC near the lower band, a position that often signals an upcoming bounce.
If MATIC holds the 0.35 dollar level, analysts believe a move toward 0.42 to 0.50 dollars remains possible. A drop below 0.33 dollars could shift momentum sharply to the downside.
Stablecoin Growth Becomes a Key Catalyst
While traders focus on price action, on chain activity across the Polygon ecosystem is offering a different story. Stablecoin usage on the network has surged throughout 2025. More than 11 million peer to peer stablecoin wallets reportedly appeared in the first half of the year. This trend shows rising adoption among everyday users.
Several institutional grade products are also launching on Polygon. New yield based stablecoin tools and money market solutions highlight growing interest in the network’s financial infrastructure. These developments support the idea that Polygon is shifting from speculative markets toward real world assets and stablecoin utility.
Key signals include:
• Increased stablecoin transaction volume.
• Strong user growth in wallet activity.
• Expanding institutional integrations.
The next few weeks may decide MATIC’s immediate future. A successful defense of support could spark a recovery. However, continued selling pressure could send the token toward the 0.22 to 0.30 dollar range. Long term prospects may depend more on Polygon’s expanding stablecoin ecosystem than on short term price volatility.
