• Polkadot price has tagged the $24.84 support floor twice, suggesting that the bulls are building up momentum.
  • Investors can expect DOT to see a quick 20% run-up to $30.89 from its current position.
  • If the altcoin sets up a swing low below $24.35, the bullish thesis will face invalidation. 

Polkadot price has been consolidating since the December 4 crash and shows signs that it is ready to make a move. Due to its presence near a crucial support level, DOT is likely to bounce off this barrier and trigger an upswing.

Polkadot price gets ready to move higher

Polkadot price set up a swing low at $24.35 due to the December 4 crash. Since this point, DOT has erected variable swing highs, but the swing lows have been in the proximity of $24.84. Over the last eight days, DOT has tagged this barrier roughly twice, suggesting a double bottom formation and an indication to move higher.

Therefore, investors can expect Polkadot price to move higher. However, in a special case, there is a chance DOT might retest the $24.84 support level for the third time. This move would lead to a triple bottom setup, indicating an upswing is even more likely.

The $29.54 hurdle is the first barrier Polkadot price will encounter on its way up and is roughly 14% away from its current position - $26.01. Beyond this, DOT will revisit the $30.92 resistance level, indicating a 20% upswing.

In a highly bullish case where the buying pressure increases, Polkadot’s price could extend to $35.04, representing a 34% ascent.

DOT/USDT 4-hour chart

DOT/USDT 4-hour chart

While things are looking up for Polkadot price around the $24.84 support level, a breakdown will alarm the traders. However, if DOT produces a swing low below $24.35, it will create a lower low, invalidating the bullish thesis. In this scenario, Polkadot price might revisit the immediate support level at $22.66.

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

Recommended content

Recommended Content

Editors’ Picks

Three reasons why Chainlink could rally

Three reasons why Chainlink could rally

Chainlink has noted accumulation by large wallet investors for the past two weeks. Nearly $110 million in LINK has been withdrawn from exchanges in this time period. LINK sustained above $13 on Sunday, extending gains by nearly 1%. 

More Chainlink News

Ripple holds on to double-digit gains, highest in top 20 cryptocurrencies

Ripple holds on to double-digit gains, highest in top 20 cryptocurrencies

Ripple rallied over 19% in the past seven days per CoinGecko data. The altcoin broke past resistance at $0.50 on the one-year anniversary of Judge Analisa Torres’ XRP ruling. 

More Ripple News

Bitcoin breaks $60,000 as market anticipates re-election of pro-crypto former President Trump

Bitcoin breaks $60,000 as market anticipates re-election of pro-crypto former President Trump

Bitcoin extended gains post the shooting at the rally of US Presidential candidate Donald Trump. The former President is a pro-crypto candidate, and a report by Fortune shows that Trump’s chances of winning the race increased after the Saturday events.

More Bitcoin News

Ethereum ETF launch could push Ether to new all-time high, on one condition

Ethereum ETF launch could push Ether to new all-time high, on one condition

Ethereum (ETH) traders are watching two key events closely: the anticipated approval of the Spot Ether ETF and the activities of whales, the large wallet investors holding ETH. An analyst has predicted that the odds of Spot Ether ETF is 72.7% this week. 

More Ethereum News

Bitcoin: Investors wonder if BTC troubles are behind

Bitcoin: Investors wonder if BTC troubles are behind

Bitcoin (BTC) stabilized around the $57,000 mark this week, while the German Government persists in transferring Bitcoin to exchanges. Concurrently, US spot Bitcoin ETFs have recorded inflows.

Read full analysis