Key Takeaways:
- DOT price is attempting a fresh rally above the $6.5 resistance.
- It broke a crucial bearish trend line with resistance near $5.50 on the 4-hours chart.
- A close above $6.50 could start a fresh rally toward the $7.20 level.
New Delhi(CoinChapter.com): Polkadot’s DOT found support near $5.15 and climbed higher. The price is rising and it may soon surge toward the $7.20 resistance zone.
Polkadot’s DOT Price Could Rise Further
After a steady decline, DOT price found support near the $5.15 zone against the US Dollar. The price formed a base above the $5.20 level and recently started a steady increase.
There was a move above the $5.50 and $5.80 resistance levels. Besides, the price broke a crucial bearish trend line with resistance near $5.50 on the 4-hours chart. The price even settled above the $6.00 resistance zone and the 50 simple moving average (blue, 4-hours), similar to Bitcoin and Ethereum.
Polkadot’s price 4-hours chart | Source: DOTUSD on TradingView.com
DOT price is currently consolidating above the trend line resistance and $6.20. On the upside, an immediate resistance is near the $6.50 level. It is near the 50% Fib retracement level of the key drop from the $7.88 swing high to $5.15 low.
The next major resistance is near the $6.85 zone or the 61.8% Fib retracement level of the key drop from the $7.88 swing high to $5.15 low. A clear wave above the $6.85 level could send the price further higher.
In the stated case, the price may perhaps test the $7.25 resistance or $7.50. Any more gains might open the doors for a move toward the $8.0 level.
Another Failure?
If there is no push above $6.50 or $6.85, DOT price might start a fresh decline. An initial support is near the $6.00 level. The next major support is near $5.80 and the 50 simple moving average (blue, 4-hours).
A close below $5.80 may perhaps start a drop toward the $5.50 support zone. Any more losses could set the pace for a test of the $5.15 support zone in the coming days or even a new low near $5.0.
Overall, DOT price is attempting a key bullish break above the $6.50 resistance. If the bulls are able to clear the $6.50 resistance zone, it could easily drift toward the $7.20 level or even $7.50. Conversely, there might be a fresh decline to $5.80.
