Polkadot (DOT) Must Retest Crucial Support To Sustain Uptrend – Details
Amid the recent boom in the cryptocurrency market, Polkadot (DOT) has stood out as one of the best-performing assets, with a price increase of 107.5% over the past 30 days. The famous crypto asset recently surged to $8.81, its highest price point in the past five months.
However, as the Polkadot market is still subject to price action and Recent online reportsa cryptocurrency market expert with the username X Rekt Capital shares valuable cautionary insights.
Polkadot must stay above $8.60 – Analyst
in a Recent posts on XRekt Capital highlights the key support levels needed for DOT to maintain its current upward trajectory. The analyst explained that after rising 35% over the past seven days, Polkadot is currently closing weekly above $8.60, with previous resistance levels now turning into support.
Rekt Capital predicts that the altcoin may retest this price level, which previously spurred the coin’s rise in 2021 to its current all-time high of $55.00. However, crypto experts note that Polkadot has also experienced a failed retest of this support area that will slide to $5.8 in April 2024, which is a possible drop of 32% from the asset’s current market price.
Therefore, DOT bulls need to ensure a successful retest of $8.6 to ensure that the coin maintains its current upward momentum. Importantly, a monthly close above this support indicates the potential for significant price gains in the coming weeks.
If the retest is successful, Polkadot is expected to rise to $12.61, which means the asset’s price could rise by 46.11%. Interestingly, Rekt Capital’s prediction for DOT is consistent with Analyst Ari Martinez He had predicted that the coin would reach $11 after breaking above $6 a week ago.
DOT Price Overview
Polkadot is currently trading at $8.68 after rising 2.12% in the past, according to CoinMarketCap. At the same time, the altcoin’s daily trading volume surged by 21.78% and is currently worth $795.37 million.
Data comes from Coincodex It shows that the overall market sentiment for altcoins remains highly bullish, as indicated by multiple factors, including the Fear & Greed Index of 78, which represents extreme greed.
Furthermore, the adoption of stablecoins on Polkadot continues to grow as USDT and USDC total valuations on the blockchain network Recently reached $120 million. This development suggests that increased liquidity and trading activity could spur demand and price increases for DOT.
Considering these factors, coupled with the start of alt season and high market enthusiasm for the incoming Donald Trump administration, Polkadot is expected to largely maintain its upward trajectory. However, these forecasts are not guaranteed and are subject to all market conditions.
