Polkadot Price Heads to New Highs: DOT Bullish Momentum Gains

Polkadot (DOT) is consolidating gains above the $7.40 zone against the US Dollar. If it can cross the resistance at $7.70, the price could start moving higher.

• DOT picked up the pace and tested the resistance level at $7.70 against the US Dollar.
• The price is trading above the $7.20 zone and the 100 hourly simple moving average.
• There is a key bullish trend line forming with support at $7.40 on the hourly chart of the DOT/USD pair (Data Source: Kraken).
• If the pair fails to sustain above the $7.20 support, it is likely to continue its uptrend.

Polkadot price maintains support

After forming a base above the $6.80 level, DOT price started a decent rise. It broke many hurdles around $7.20 and skyrocketed to above $7.65. A high was formed at $7.69, and the price is currently consolidating gains similar to Ethereum and Bitcoin.

There was a move below the $7.50 support zone. The price fell below the 23.6% Fib retracement level of the rise from the swing low of $6.91 to the high of $7.69.

DOT is currently trading above the $7.20 zone and the 100 simple moving average (4-hourly). Also, on his hourly chart of the DOT/USD pair, a key bullish trend line is forming at $7.40 support. Immediate resistance is near $7.70.

The next major resistance is near the $7.80 level. A successful breakout above $7.80 could initiate a further strong upside. In the above case, the price could easily rise towards $8.20 in the short term. The next major resistance is seen near the $8.50 zone.

Further drawbacks of DOT?

If the DOT price fails to initiate a new uptrend above $7.70, the decline may continue. The first significant support lies at the $7.40 level and the trendline.

The next major support is around the 50% Fibonacci retracement level of $7.30 and the 100 simple moving average (4-hour) or the rise from the swing low of $6.91 to the high of $7.69, below which price will move to $7.00 It could fall to the dollar. Further losses could lead to a move towards the $6.90 support zone or $6.80.

technical indicators

Hourly MACD – The MACD for DOT/USD is currently gaining momentum in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for DOT/USD is currently above the 50 level.

Major support levels – $7.40, $7.30, $7.10.

Key resistance levels – $7.70, $7.80, $8.20.