Polkadot price has had an exceptional surge, rising by over 100% within the last month. The cryptocurrency’s price has shifted from a lengthy downtrend channel and is therefore in the process of recovering. After this breakout, DOT returned to the $8 level which was a resistance turned support level in previous cycles. This level is important in maintaining the upward movement.
Polkadot Price Breaks $8 Resistance: Is a Rally to $10 Next?
Amid the current crypto rally, Polkadot price surged 111% over the past 30 days, marking an impressive recovery. This includes a 40% daily jump, bringing DOT back above $8. The market has experienced heightened trading activity and stronger bullish pressure, driving the recent upward momentum. At the time of writing, the $8 mark, which was a resistance level, is now a support zone.
On the monthly chart, Polkadot price is moving toward a key horizontal resistance level near $10, which also represents a critical psychological barrier. Historically, the $10 zone has acted as both support and resistance during various market cycles. Therefore, a successful breach could pave the way for a rally toward the $12.60 level.
Source: X
Moreover, top technical indicators reveal a bullish outlook. The Relative Strength Index (RSI) has entered the overbought zone on the daily chart, reflecting increased buying pressure. This suggests that the market is favoring continued upward movement. However, traders remain cautious of a potential correction, as overbought conditions often precede short-term retracements.
Source: TradingView
Additionally, Polkadot (DOT) MACD indicator shows a strong bullish crossover, with the MACD line moving significantly above the signal line, indicating heightened bullish momentum. The rising histogram bars further confirm increasing buying pressure, suggesting that the uptrend could continue.
Will Price Reclaim the $10 Level?
According to experts, high volatility may lead to Polkadot reaching $10 if the upwards trends continue to prevail. The next important level of resistance is close to $9.91, breaking through which may open the way to further climb above $10. A rising Simple Moving Average (SMA) on the daily timeframe also backs DOT and the wider market sentiment.
Despite this rally, a bearish reversal could lead to a retest of the $6.57 support level, with stronger downward pressure driving the Polkadot price back to its critical floor of $5. More so, analyst Rekt Capital emphasized the importance of closing the month above $8.61 to sustain the crypto rally.
As of this writing, Polkadot price is at $8.53, having surged 35.65% in the last one day. Market capitalization is $13.14 billion, while the trading volume within 24 hours is $3.03 billion which is a 271% increase.
The post Will Polkadot Price Continue To Rally Following 100% Surge? appeared first on CoinGape.
