Polkadot (DOT) enters the pricing phase, where is the next target?

Polkadot (DOT) is likely in the early stages of parabolic motion, which could add tremendous value to it.

Day outlook

Polkadot has been on the rise since early July. On October 14th, it broke above the resistance area of ​​$ 41.35. This is crucial as this zone is the final hurdle before a new all-time high.

DOT confirmed it as support (green symbol) on October 27th and the rally accelerated thereafter.

On November 2nd, Polkadot hit a new all-time high of $ 53.35. The next resistance is at $ 73.53 created by the external fib retracement level at 1.61 when measuring the recent decline. With the price at an all-time high, such fib levels are often used to gauge the next level of resistance.

Technical indicators support the continuation of the upward trend.

The MACD, formed by the short and long-term moving averages, is in positive territory and rising. This means that the short term trend is faster than the long term trend.

The supertrend line, which uses volatility to determine the direction of the trend, shows that the trend is bullish because the DOT price is above it (green).

More importantly, the RSI has broken out of bearish divergence and is moving up. This means that the dynamic increases with the rate of price increase.

DOT / USDT daily chart | Source: TradingView

Count waves

The wave count also supports the continuation of the rapid upward movement.

It suggests that DOT is on the third wave of a bullish impulse with five waves (orange). The first potential target for the top of wave 3 is $ 85, which would result in a 1: 3 wave of 1: 1.61, a ratio that is common on such upward moves.

Given the $ 1.61 Fib resistance at $ 73, the entire $ 73- $ 85 zone could act as a potential zone for a local high.

DOT / USDT 2-day chart | Source: TradingView

DOT / BTC

Trader @ Pentosh1 sketched the DOT / BTC chart, suggesting that it is likely to rise to new all-time highs.

The source: Twitter

The DOT / BTC pair shows a similar bullish outlook.

The pair broke a descending resistance line created from the all-time high in May, indicating the correction is over.

Additionally, both RSI and MACD support the continuation of the uptrend.

The next resistance is at ₿0.001 – the aforementioned all-time high. If the DOT breaks out, it can rise to ₿0.0014 (External Fib Retracement Level 1.618).

DOT / BTC daily chart | Source: TradingView

You can see the Bitcoin price here.

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Disclaimer: This article is for informational purposes only, not investment advice. Investors should research carefully before making a decision. We are not responsible for your investment decisions.

SN_Nour

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