Polkadot price has rallied significantly since it dropped to $ 23.95. A surge above $ 30 provides significant psychological support for buyers and long term owners alike to see DOT break higher again.
DOT had encountered short-term resistance at the 38.2% Fib retracement level at $ 31.08 and the Tenkan-Sen at $ 31.66. It needs to close above these two levels to avoid short-term selling pressures. Ideally there would be enough momentum to close above the Kijun-Sen at $ 36 but that may not be possible.
After Saturday’s flash crash, an unfortunate event that caused the Relative Strength Index (RSI) to go from a bull market to bad shape. This does not mean or imply that polkadot is entering a bear market, but that momentum has subsided enough that traders can be cautious.
Even so, there are some bullish signs. First, there is a common bullish divergence between the candlestick chart and the composite index – an indication of a bullish reversal. In addition, the Optex Bands oscillator is moving uphill, leaving the oversold extreme it was in before.
DOT / USDT daily Ichimoku chart.
Given the current position of the RSI, Composite Index, and Optex bands, a break above $ 32 will likely have enough momentum to cause Polkadot to test the Senkou Span B at $ 40 for resistance.
Conversely, a failure to close above the Tenkan-Sen Polkadot would lead back to the 50% Fib retracement level at USD 26.
Join Bitcoin Magazine Telegram to keep track of news and comment on this article: https://t.me/coincunews
Follow the Youtube Channel | Subscribe to telegram channel | Follow the Facebook page
Discover why BlockDAG (BDAG) is emerging as a strong competitor to Kaspa (KAS) with its…
With financial inclusion and customer-first on top of mind, founded in 2018, BitMart is a…
Finding the best crypto to join right now can feel like searching for a gem…
In a release on the X platform, SOON—Solana Optimistic Network, a premium Rollup stack project—announced…
Logan Paul has consistently ranked among the highest-earning YouTubers worldwide. In this article, let's explore…
After the success of Notcoin, Not Pixel is the latest project that is attracting the…
This website uses cookies.