DOT has continued to suspend bearish following over 5% gains in the past 48 hours. These gains resulted from a bounce, which suggests a fresh increase. It is currently approaching a weekly resistance.
Following last week’s bounce that brought some notable price recovery among many altcoins, DOT stayed well above the crucial $3 level and posted little gains during that period as it temporarily suspended selling.
Facing resistance on the way up, it lost steam and fell slightly to $3.5 on Wednesday. The price picked up again and increased to where it is changing hands at $3.7. Amid increasing volume, it is on the verge of breaking last week’s high with a bullish pattern on the lower timeframe.
The bullish pattern, which looks like a double-bottom formation on the hourly chart, signals a potential short-term trend shift. While it is yet to be confirmed, there are several obstacles ahead even if the price breaks up. The closest key resistance level to watch for a shift is $6.
If the recent gains roll back, especially below the current monthly low, we can expect more collapses. Currently, the bulls are gaining control.
Without any doubt, DOT’s bearish momentum appeared to have reached a critical trading level in the past few days due to the recovery. Having said that, the market trend remains bearish on the daily, but the trading landscape might change soon following the latest bullish signals.
DOT’s Key Levels To Watch
Source: Tradingview
The bulls must overcome the previous weekly $3.82 high to gain more control. In anticipation, the $4.28 and $4.7 levels are resistance to watch for a test, along with the $5.3 level.
In case of a drop, the main support level to watch for a collapse is $3.25. A new low may surface around the $3 level and potentially $2.5.
Key Resistance Levels: $4.28, $4.7, $5.3
Key Support Levels: $3.25, $3, $2.5
- Spot Price: $3.7
- Trend: Bearish
- Volatility: High
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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Source: https://nulltx.com/polkadot-price-analysis-prediction-april-18-dot-resurges-near-previous-weekly-high-can-it-break-through/