Cryptocurrency News, Cryptocurrency Price Analysis

Polkadot Spiked By Over 4% As Technical Outlook Remain Bullish

Polkadot shows some recovery on its chart over the past 24 hours as the coin surged by more than 4%.

Additionally, the altcoin failed to register any significant price movement as the market correction continued over the past week.

However, the altcoin shows a bullish tendency today, with the technical outlook indicating a potential change in price in the coming days. Polkadot recovered its lost value after the initial signs of future price action.

Furthermore, the DOT continues to break significant resistance hurdles as the coin attempts to reach the overhead price level. In reaction to Polkadot’s activities, the price increased after surpassing the $9 price mark.

The $9 price level is currently acting as the support level for DOT. As a result, buying pressure resurfaces, which points to DOT’s attempt to regain its bullish price activity.

Polkadot Price Review

At the time of writing, DOT is currently trading at $10.27. The closest trading price is set at $9, while the two support levels are $8.71 and $7.20. Meanwhile, Polkadot has an overhead resistance of $11.87. The DOT even attempts to trade above the $11 price level.

1-day Trading Chart. Source: DOT/USD on TradingView

Should the bulls push the price a little further, the DOT can retest the price as mentioned earlier. If the token continues to trade above the previous price level, the altcoin could trade near the $14.62 price level.

The trading volume of the altcoin is currently in the green, an indication that the coin is in a bullish state. Similarly, this is also an indication of increased buying pressure for Polkadot.

Technical Outlook

DOT began showing some changes in its price action, with the technical indices pointing towards a bullish rally. After the surge, the coin attempts to break through the 20-SMA line. However, the coin is currently above the 20-SMA hurdle as of press time.

This indicates buyers’ control of the price direction in the market.

Likewise, the Relative Strength Index (RSI) shows an uptrend in Polkadot’s price on the daily trading chart. The RSI is in line with the mentioned price indicator, which increased buying strength.

Another awesome thing is that the altcoin registered a buying signal when buyers returned to the market. This pushes the price momentum in favor of the buyers who control the direction.

Moreover, the buying signal is depicted in green. If buying activities continue, the price could attempt to make a move above the overhead resistance zone.

The Directional Movement Index has turned positive and is moving toward a bullish move to show how strong the price uptrend has been.

In a similar pattern, the average daily index shows the positive performance of the price momentum. Polkadot has remained bullish so far, with prices showing a tendency to surge further in the coming days.

The crypto market is currently in a bearish period after the crash of the Terra network.

If Polkadot is to keep the current price action consistent, it would require more market strength to maintain it.

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