Recovery Rally
Polkadot’s DOT gained 4% in intraday trading, climbing to $4.12 after retesting and defending critical support levels between $3.88 and $3.92. Exceptional on-chain volume exceeding 7 million tokens indicates robust buying pressure from institutional participants.
Technical Analysis
CoinDesk Research’s proprietary model highlights a breakout above the $3.92 resistance line, suggesting momentum is building toward the next Fibonacci extension zone at $4.15–$4.20. Relative strength index readings remain in neutral territory, supporting further upside potential.
Volume Trends
Trading volume on major centralized and decentralized platforms spiked by 35% over 24 hours, signaling renewed market confidence. On-chain metrics reveal inflows into address clusters linked to institutional wallets.
Market Sentiment
Analyst commentary suggests that positive price action in high-throughput layer-1 networks is driving broader altcoin strength. Polkadot’s ecosystem upgrades and interoperability use cases attract growing developer and enterprise interest.
Macro Context
Crypto markets overall experienced mild gains following U.S. inflation data. With Bitcoin trading rangebound, altcoins such as DOT have captured speculative flows seeking higher yield and growth prospects.
Potential Resistance
Key resistance clusters at $4.20 and $4.25 may test buyer conviction. Failure to sustain gains above these levels could result in a pullback toward the $4.00 psychological handle.
Outlook
Positive momentum may extend DOT’s multisession rally, especially if on-chain indicators maintain bullish signals. Traders will watch for volume confirmation above critical thresholds in the coming sessions.
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