TL;DR Breakdown
- Polkadot price rose 10 percent on the day to move as high as $20.28
- Price targets $28.47 resistance zone with an expected 15 percent upturn
- In case of a bearish takeover price must go down to $16.89 to invalidate bullish thesis
Polkadot price analysis for the day shows bullish signs, as price took a swift upturn to move past the $20 mark. DOT seemed to have failed to test the current level on February 2, when price declined down to $18.01, but an immediate change in trend followed during the day’s trade. Polkadot could be in line for a further increment of up to 15 percent to take price up to the resistance point at $28.47, however the next hurdle is expected at $22. At current trend, DOT presents an ideal buying opportunity where profits could be booked within the $22 and $24.18 range.
The larger cryptocurrency market picked up massive increments over the day’s trade, led by Bitcoin’s ascend above the crucial $40,000 mark with a 10 percent increment. Ethereum followed suit with a 13 percent rise, taking price up to $3,000. Among Altcoins, Ripple and Cardano gained 6 and 5 percent, respectively, while Solana upped more than 12 percent to take price up to $108.779.
DOT/USD 24-hour chart: Increasing market value tips for current trend to continue
The 24-hour candlestick chart for Polkadot price analysis shows price rising above the crucial 25 and 50-day exponential moving averages (EMAs) during the day’s trade. DOT gained more than 10 percent to build momentum towards the initial testing point at $22, with further movement upward expected to take price up to the $28.47 resistance. In case buying pressure continues, Polkadot can cut the supply zone to test the 50-day simple moving average (SMA) at $24.18 over the next 24 hours.
The relative strength index (RSI) in this case shows favourable market valuation for DOT, sitting at an increasing value of 46.15. The moving average convergence divergence (MACD) curve sets a similar view, crossing the neutral zone to set up bullish highs.
DOT/USD 4-hour chart: Price vary of $16.89 support to intervene
In a converse scenario, the bullish thesis may be sidelined if DOT 4-hour candlestick chart closes below the $16.89 support. This will create an opportunity for sellers to lower price down to $15.05 after attaining profits from current trade. In this scenario DOT will have to push again to test the $20 mark. Current 4-hour stance for DOT could be termed as overvalued in the market, with the RSI value sitting above 66, hence buyers need to be vary of a quick turnaround.
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