Why Polkadot price could surge by more than 50%

Polkadot price shows signs of continuing the uptrend as seen in the 2020 fractal. If history repeats itself, DOT and its holders are likely to enjoy a prosperous future.

Polkadot price at an inflection point

Polkadot price set a triple bottom setup at $3.91 for roughly 44 days in September 2020. This formation was followed by an explosive move that pushed DOT to its all-time high at $50. The nuances before and after the triple bottom formation seem to be repeating again, suggesting a fractal formation.

Since the triple bottom setup on March 6, DOT has rallied 40% and is now facing the $22.45 resistance barrier. A minor retracement to the immediate support level at $20.34 seems likely considering the exponential run-up over the past two weeks.

This pullback will allow the bulls to recuperate, triggering another leg up for Polkadot price. This move, however, will aim for a retest of the $31.40 resistance barrier, bringing the total gain to 55%.

In an extreme bullish run, the Polkadot price could fail to retrace and directly flip the $22.45 hurdle. As long as DOT manages to sustain above this newly formed support level, the uptrend scenario will remain intact and suggest the possibility of a retest to $31.40.

DOT/USDT 1-day chart

While the fractal seems to be playing out well for the Polkadot price, a reversal in Bitcoin’s directional bias could negatively impact DOT bulls. In such a case, a daily candlestick close below $18.65 will invalidate the bullish thesis for the Polkadot price. By undoing the recent gains, the downswing could trigger a panic sell, pushing back DOT to revisit the $15.85 support level.