Polkadot Price Prediction: DOT buy signal suggests new all-time high above $70

Polkadot price has been consolidating under $48.33 for roughly four days, suggesting a breakout is likely.
A daily close above $48.33 will propel DOT to a new all-time high potential at $71.43
A daily close below $39.63 will invalidate the bullish thesis.

Polkadot price has been trading in a tight range since November 11. However, one indicator suggests that a bullish breakout is likely. This potential move could set a new all-time high for DOT.

Polkadot price looks ready for a breakout

Polkadot price rose 33% between November 1 and November 4 to set a new high at $55.22. This upswing was followed by massive profit-taking that led DOT to retrace its move. Since then, DOT has been tapping the $39.63 to $45.79 demand zone but stuck under the $48.33 resistance barrier, suggesting a lack of volatility.

Therefore, investors can expect Polkadot price to experience a volatile move, potentially to the upside. The Momentum Reversal Indicator (MRI)’s green ‘one’ buy signal on the daily chart supports this thesis. This technical formation forecasts a one-to-four candlestick upswing.

Therefore, a daily close above $48.33 will confirm the start of an upswing. Moreover, a higher high above $55.88 will solidify the bullish move.

In this scenario, market participants can expect Polkadot price to extend its leg-up to $71.43, coinciding with the 161.8% Fibonacci extension level. This new all-time high for DOT could end here, or in a highly bullish case, Polkadot price might target the next level at $100, coinciding with the 261.8% Fibonacci extension level.

DOT/USDT 1-day chart

Regardless of the buy signal, if Polkadot price pushes through the $39.63 to $45.79 demand zone, things will be primed for a lower move. A daily close below $39.63 will invalidate the bullish thesis.

In this scenario, Polkadot price could head lower to the $33.42 support floor, where it could give the upswing another go.

Share: Cryptos feed

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Join Telegram