Polkadot’s DOT started a fresh rise from the $5.60 support against the US Dollar. Corrects the gains, but the indicators suggest high chances of a new increase.
DOT is holding firm above the $6.00 and $5.80 levels against the US dollar. Price is trading nicely above the $6.00 support and the 100 simple moving average (4-hours). A major uptrend line is forming with support near $6.05 on the 4-hours chart of the DOT/USD pair (data feed from Kraken). The pair could start a strong rally once it breaks above the $6.40 and $6.50 resistance levels.
Polkadot cool eyed DOT rally
After forming a base above the $5.60 zone, the DOT price started a new rise. It rallied above the $5.80 and $6.00 levels to return to a positive zone.
The bulls were able to push the price above the $6.50 level and the 100 simple moving average (4-hours). The price traded as high as $6.82 and has recently started a downward correction, similar to bitcoin and ethereum. There was a move below the $6.50 level.
The point price fell below the 50% Fibonacci retracement level of the up move from the $5.59 low to $6.82 high. However, the bulls are protecting the $6.15 support zone.
There is also a major uptrend line forming with support near $6.05 on the DOT/USD 4-hour chart. The bulls are also protecting the 61.8% Fibonacci retracement level of the up move from the $5.59 low to $6.82 high.
It is also above the $6.00 support and the 100 simple moving average (4-hours). An immediate resistance is near the $6.40 level. The main resistance remains near the $6.65 and $6.80 levels.
Source: DOTUSD on TradingView.com
A successful break above $6.65 and a close above $6.80 could start a strong rally. In the given case, the price could easily increase by 10-15% in the short term.
If the DOT price does not continue above $6.65 or $6.80, further losses could be in store. The first key support is near the $6.05 and $6.00 levels.
The next big support is near the $5.80 level and the 100 simple moving average (4-hours). More losses can perhaps open the doors for a move towards the $5.50 support zone.
4 Hours MACD – The MACD for DOT/USD is now losing momentum in the bullish zone.
4 Hours RSI (Relative Strength Index) – The RSI for DOT/USD is now just below the 50 level.
Main support levels: $6.05, $6.00 and $5.80.
Main resistance levels: $6.40, $6.65 and $6.80.
This post DOT (Polkadot) Price Indicators Suggest a Strong Case for a New Rally
was published first on https://newsbtc.com/analysis/dot/dot-price-polkadot-rally-7/