Polkadot Price Analysis: $DOT Gains 9% to Trade Above $4.50 Support

As an analyst with years of experience navigating the volatile and unpredictable waters of the cryptocurrency market, I’ve seen trends come and go like the phases of the moon. And Polkadot ($DOT) has been no exception to this rule. After weeks of seeing-sawing between $4 and $5, it looks like $DOT might be ready for a breakout.


Over the past few weeks, Polkadot ($DOT) struggled to hold its ground at $4.50 and faced uncertainty. However, as we approach the end of the week, it seems that Polkadot is poised to finish the week positively with a 9% increase in value. Currently, one DOT token is being traded for approximately $4.53.

Polkadot’s digital token ($DOT) appears poised to close the week on an optimistic streak. Currently, $DOT has risen by 3.31% in this session and has surged more than 9% over the past seven days. Over the last few weeks, the value of $DOT has been fluctuating between approximately $4 – $5. It briefly dropped below $4 to reach a low of $3.82, but then rebounded and even momentarily crossed above $5.

A Continuous Battle Between Buyers and Sellers

Following a seven-day slide and dipping below the crucial $4 mark on September 6, reaching a low of $3.82, DOT seems to have reversed course. On Friday, it touched its lowest point, but then experienced a significant rebound over the weekend, concluding the previous week above its $4 support at $4.16.

On Monday, Polkadot’s recovery persisted, and purchasers kept up the drive to boost $DOT by 2.88%. The day ended with $DOT closing at $4.29, slightly below its 20-day Simple Moving Average (SMA). Attempts were made on Monday to push past the 20-day SMA, but they proved unsuccessful. Instead, the 20-day SMA served as a dynamic barrier, causing momentum to dwindle and $DOT to dip nearly 1%, finishing at $4.25.

On Wednesday, there was a strengthening bearish influence that caused Polkadot (DOT) to reach its lowest daily price of $4.07. Yet, persistent interest in DOT at lower prices helped it recover some losses. By the end of trading on Wednesday, DOT closed at $4.19, representing a 1.41% decrease.

Strong Demand Allows Buyers to Take Control

On Thursday, more buyers joined the market, leading to an enhanced demand and a 2.63% increase for $DOT, pushing it above its 20-day Simple Moving Average (SMA) and ending the day at $4.30. This move beyond the 20-day SMA indicated that the bearish trend was weakening and demand was on the rise. On Friday, $DOT’s bullish momentum continued, with a 3% increase helping it maintain its position above the 20-day SMA, closing at $4.43. However, on Saturday, $DOT temporarily dipped to $4.35. Despite this, buyers intervened and helped $DOT regain its footing, ending the session with a slight increase, settling at $4.44.

$DOT Faces Strong Resistance at $4.50

At present, $DOT encounters significant and prompt obstruction around $4.50 and its 50-day Simple Moving Average (SMA). However, buyers have been successful in driving $DOT above the $4.50 mark during this session. Currently, $DOT is experiencing a 3.00% increase, trading at $4.52. If buyers manage to keep control, there’s potential for $DOT to break through towards $5.00.

As an analyst, I find myself pondering over the possibility of DOT‘s continued bullish trend. At this juncture, it appears that the upper hand lies with the buyers, suggesting a potential continuation of its upward momentum.

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2024-09-15 18:02