Price Analysis

Polkadot Draws a Slight Bullish Crossover; Trades Above $4

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Polkadot—an open-source project on the chain of Binance whose token serves the three major goals viz., governance of the network, staking, and bonding. Moreover, Polkadot is facilitated to work with a completely functional and user-friendly decentralized web.

Alongside, DOT token has made its presence amongst the top 10 cryptos of the market and is now a lucrative investment and can process many transactions on several chains in parallel. From not having heard about Polkadot being one of the top tokens in the market, crypto investors are definitely going gaga over the newly ranked platform.

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Since the currency is placed amongst the oldest tokens of the market, RockX has recently launched a plan to inject $20 million to support the Polkadot ecosystem over the next five years, making it one of the worthwhile investments of all times.

Polkadot Price Analysis

Polkadot Price News
DOT/USD Chart By TradingView

At the press time, Polkadot was trading at $4.25 on the 2-hourly chart against the US Dollar. Moreover, if we emphasize on the 30-day price movement of DOT/USD, we see that it has drawn a parabolic curve like pattern after testing supports as low as $3.5 in the first week of the ongoing month.

However, after the downslide of the parabola like pattern, Polkadot has now regained the traction slowly yet steadily with a bullish divergence on the MACD chart. However, a complete sentiment lacks as the coin trades below 50.0% and even below the 61.80% Fib level on the 2-hourly chart.

DOT has regained the momentum and is now able to draw a bullish crossover after hitting daily lows at $3.9 to currently trading above $4.0. But the coin lacks support from MA200 but has reclaimed MA50 support after spurring above $4 on the hourly chart.

The RSI has also risen from the utter bottom and is now at 50.14, but a complete bullish divergence will require a persistent trade above $4.8 and $5 on the daily chart.

Mehak Punjabi

Mehak Punjabi is a post graduate in MBA with specialization in Finance and has joined CryptonewsZ with a skill building view in the world of cryptocurrency and blockchain. She is dynamic and a quick learner with a hold on financial analysis.
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