POL Price Update: Prices Drop Once More as RSI Approaches Oversold Territory
Current Price and Market Conditions: POL, trading at $0.1338, is experiencing bearish momentum with a 1.11% decline in the last 24 hours, and the RSI indicates it is nearing oversold territory at 31.77.
Token Burn and Supply Dynamics: The Polygon network burns over 1 million POL tokens weekly, resulting in a low net inflation of $140,000, which is favorable compared to other Layer 1 tokens.
Market Mispricing and Long-Term Fundamentals: Analysts suggest that the market may be undervaluing POL's transition from MATIC and its stable token mechanics, which include high burn rates and consistent network usage.
Technical Indicators and Future Outlook: Despite the current price pressure, ongoing deflationary trends and stable usage of the network may support price stability, although traders focusing solely on technical charts might miss these on-chain developments.
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