Polkadot Price Aims For Colossal Breakout to $32

Last Updated July 23rd 2021
2 Min Read
  • Polkadot makes its way toward $18.5 after bringing down the resistance at $16.5.
    • The TD Sequential indicator flashed a buy signal, adding credence to the bullish outlook.

    Polkadot is among the most improved crypto assets this week, in a way, leading other altcoins in recovery. Bitcoin has been pivotal between $35,500 and $34,000 since Friday. Ethereum only managed to reclaim support at $2,100 after the downswing to $1,700. Meanwhile, Polkadot trades at $16.34 after recoiling from $13.

    Polkadot gradually building the uptrend

    Polkadot has gained ground since the support at $13. The liftoff was quick at first but stalled at $16. With the price trading at $16.4 at the time of writing, bulls seem encouraged to add to raise their stakes.

    According to short-term technical levels, Polkadot’s path with minor hurdles is upward. For instance, the Moving Average Convergence Divergence (MACD) indicator had flipped bullish for the first since the selloff last week.

    The bullish outlook was validated as the MACD line (blue) crossed above the signal line. As the indicator moves closer to the signal line, we will likely see the up leg extend above $18.5 (the next resistance) and perhaps resume the subsequent recovery phase toward $32. In addition to that, if the MACD moves into the positive region, the bullish grip will become stronger.

    DOT/USD four-hour chart

     DOT/USD 4-hour chart 062921

    As bulls battle the resistance toward $18.5, the Relative Strength Index (RSI) highlights their high aggressiveness. Note that the rebound from $13 has seen the RSI sustain a gradual slope toward the midline. A break above the midline will call more buyers into the market, creating enough tailwind to bolster Polkadot toward $32.

    The TD Sequential indicator recently flashed a buy signal on the daily chart. This bullish call appeared in a red nine candlestick, suggesting that the downtrend was getting weary as buyers prepared to take control. The lift to $16.5 is mainly connected to this call to buy and may still influence the price.

    DOT/USD daily chart

     DOT/USD daily chart 062921

    On the downside, the SuperTrend has a bearish outlook presented toward the end of May. In other words, the overhead pressure from the selloff in May is apparent and cannot be ignored.

    The SuperTrend is a chart overlay tool resembling moving averages, but it accounts for volatility in the market, thus sending signals to either long or shot an asset. For now, Polkadot’s path with the least resistance may remain downward until a bullish signal appears.

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