Polkadot (DOT) has been making significant gains above the $10.00 resistance level against the US Dollar, sparking speculation among investors about a potential rally towards $12.00 in the near future.
The price of DOT is currently above the $10.00 zone and the 100 simple moving average on the 4-hour chart. Additionally, a key bullish trend line with support at $9.10 is forming, indicating a strong foundation for further growth.
After establishing a base above $8.00, DOT price experienced a fresh rally, gaining over 20% in just a few days. Surprisingly, Polkadot even outperformed big players in the market such as Ethereum and Bitcoin at certain points. With a clear move above the $9.50 and $10.00 resistance levels, the price surged to a new multi-month high at $11.00.
Despite a minor pullback below the $10.75 level, DOT remains resilient, still trading above the 23.6% Fib retracement level. The immediate resistance is near $10.75, with the next major resistance poised at $11.00. A successful breach above $11.00 could trigger another significant rally, potentially reaching $12.00 in the near term.
In the event of a downside correction, the first key support for DOT is situated near the $10.35 level, followed by the $10.00 level. Further support can be found near $9.50, and any additional losses may lead to a decline towards the $9.20 support zone or the established trend line.
Looking at the technical indicators, the 4-hour MACD for DOT/USD is gaining momentum in the bullish zone, indicating a positive trend. The 4-hour RSI is also above the 50 level, suggesting bullish strength in the market.
It is crucial to note that investing in cryptocurrencies carries inherent risks, and the information provided in this article should not be considered as financial advice. NewsBTC does not provide recommendations on buying, selling, or holding investments. It is highly recommended that you conduct your own research and use this information at your own risk.
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