Posted 9 hours ago
A bullish reversal of the wedge pattern The support trend line triggers a new bullish cycle for the Polkadot price. Under the influence of this pattern, buyers can push the potential upside towards the overhead resistance. However, $6 could be strong against resistance to offset bullish growth.
- The DOT chart shows signs of a reversal at the trendline support of the pattern
- The slope of the daily RSI plummeted into bearish territory.
- The 24-hour trading volume on the Polkadot coin is $252.3 million, indicating a loss of 32.5%.
In the last six months, the crypto market faced multiple events, such as interest rate increases, CPI dataand recently the FTX crypto exchange crash. Although these events caused a drastic change in the major cryptocurrencies, the daily chart shows that the Polkadot price has remained within a falling wedge pattern.
In theory, this technical setup validates as a bullish continuation pattern that offers a significant run-up after the breakout of the trend line of resistance. However, amid the recent sell-off in the crypto market, the altcoin fell back to the trend line of pattern support.
However, the price of the Polkadot coin has recovered from the support trend and increased by 7.6% in the last three days. This bullish reversal also recaptured a horizontal $5.75 level, and lower price rejection candles showing sustainability above this level indicate a possible rally.
Therefore, a bullish cycle within this pattern should ideally send prices back to the overhead resistance in response to the bullish pattern. Therefore, if the above theory turns out to be true, the altcoins it should rise 16.75% from its current price of $5.76 and reach the $6.75 mark.
Conversely, a daily candle that closes below the support trend line invalidates the bullish thesis.
MACD indicator: a bearish break of MACD and the signal line below the neutral line indicates that the sellers gain control of the trend.
Bollinger band: a retest of the indicator’s lower band suggests a high possibility of a bullish reversal.
Intraday Polka Dot Price Levels
- Spot Fee: $5.81
- Trend: Bullish
- Volatility: Medium
- Resistance Levels: $6.1 and $6.75
- Support Levels: $5.75 and $5.49
The content presented may include the personal opinion of the author and is subject to market conditions. Do your market research before investing in cryptocurrency. The author or publication has no responsibility for your personal financial loss.