What to Know:
- Coinbase’s MATIC to POL migration caused panic selling and price volatility.
- POL broke key support at $0.195, signaling continued bearish momentum.
- Despite market pressure, Stripe and ODDO BHF’s partnerships show Polygon’s long-term growth potential.
Polygon (POL) took a hard hit over the last 24 hours, dropping by about 9.1%, well worse than the broader crypto market’s 5.85% slide. Traders point to a mix of migration headaches, weak technicals, and shifting sentiment as the causes behind the drop.
What’s happening with Polygon & Coinbase Migration
A major pressure point, according to CoinMarketCap, is the final stage of Polygon’s token migration from MATIC to POL on Coinbase. On October 14, Coinbase disabled MATIC trading and began converting user MATIC holdings into POL. Sends and receives of Polygon (MATIC) will be disabled from October 14-17, 2025.
That move forced many holders into automatic conversion, which spooked some into selling.
Because of this uncertainty, many token holders saw the migration as a deadline to exit or reduce positions. Since the migration started in September 2024, POL has already fallen about 40.5% in value.
Now that the migration final phase is live, the question is whether holders will come back or whether new demand will materialize. One thing to watch: whether staking demand rebounds, especially through regulated platforms like AMINA Bank, which is offering up to 15% APY yields on POL.
Technical Support
The technical picture isn’t pretty. POL recently broke below a key support level near $0.195, which many traders watched closely. It’s also trading below major moving averages indicating it’s losing momentum. The 30-day average sits around $0.227, above current prices.
And while the RSI reading of 34.85 suggests buying is weak, it’s not quite in “oversold” territory yet. The MACD also shows a negative reading, confirming downward pressure. Meanwhile, trading volume jumped nearly 17.5% to $171 million, which signals many sellers are giving up and exiting positions.
Altcoin Liquidity Shrinks
Part of the trouble for POL is broader capital flows in the crypto market. Bitcoin’s dominance climbed to 59.24% (a 3-month high), signaling that money is being pulled from altcoins into BTC. The Altcoin Season Index, which gauges whether altcoins outperform Bitcoin, flipped into “Bitcoin Season”, meaning altcoins are under pressure.
POL tends to move in tandem with Ethereum. Over the past 30 days, their correlation rose to 0.89, but Ethereum itself fell 7.2% in 24 hours, adding drag. With the Fear & Greed Index at 28, investors are gravitating toward more stable or dominant assets. If the downtrend continues, the next level many are watching is $0.165, near a deeper retracement support line of 78.6% Fib.
Despite the slow week for crypto, speaking on CNBC-TV18’s Crypto Corner, Polygon co-founder Nailwal explained that the entry of listed companies into digital asset treasuries has opened the doors for wider institutional participation. “A lot of stock market participants can now participate in crypto, opening up the floodgates of institutional capital,” he said. He added that expectations of a dovish stance from the US Federal Reserve and potential rate cuts are further driving liquidity into asset classes like crypto.
Recent Events
Despite the downside, there are some developments in Polygon’s favor. Stripe Added USDC Subscriptions on Polygon & Base. Stripe launched a feature that allows merchants to accept recurring payments in USDC on both the Polygon and Base networks. Users can save a wallet and authorize recurring payments via smart contract, without needing to sign every transaction.
Polygon Expanded in Europe with EUROD Stablecoin. French bank ODDO BHF launched a euro-backed stablecoin named EUROD, built on Polygon. It is fully compliant with Europe’s MiCA regulation and aims to bring regulated stablecoin infrastructure to the region. These moves may help restore confidence in the network’s long-term utility, even as price moves are under pressure.
Final Thoughts
POL’s recent 9% drop reflects a collision of tailwinds and headwinds: the stress of migration, technical breakdowns, and broader market malaise.
If POL can regain footing and turn some of the migration uncertainty into new utility, it has a chance to recover. But in the short run, with macro pressure and technical weakness, it looks like a tough road ahead.
Also Read: CZ Calls for Transparency in BNB and All DAT Projects Post QMMM
