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Polkadot Price Prediction: DOT poised to rise higher as ecosystem continues to grow rapidly

  • Polkadot price is currently contained inside an ascending parallel channel.
  • The Polkadot ecosystem has seen significant growth in the past month. 
  • The protocol is still in its infancy and has a lot of potential to grow more.

Polkadot has been one of the fastest rising cryptocurrency projects in the past year, reaching a market capitalization of $15 billion, ranked fourth. The Polkadot ecosystem includes significant projects like Ocean Protocol, Ankr or WalletConnect.

Polkadot price needs to defend a crucial support level to rebound

According to statistics from Coin98 analytics, over $10 worth of Polkadot coins are staked inside exchanges or wallets. In addition to the substantial number of coins locked, the Polkadot ecosystem has received a lot of interest from big players in the recent months including Binance, Huobi, and others.

DOT has established an ascending parallel channel on the 4-hour chart and bulls are just defending the lower support trendline at $15. Successfully holding this level can quickly push Polkadot price towards the middle of the pattern at $17.15. 

dot price

DOT/USD 4-hour chart

To give credence to this bullish outlook, the TD Sequential indicator has just presented two buy signals on the 2-hour and 3-hour charts.

dot price

DOT buy signals

However, it is still entirely possible for the bears to push Polkadot price through the support level at $15. This breakdown can lead to a 20% move to the downside with a price target of around $12.

Author

Lorenzo Stroe

Lorenzo Stroe

Independent Analyst

Lorenzo is an experienced Technical Analyst and Content Writer who has been working in the cryptocurrency industry since 2012. He also has a passion for trading.

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