- DOT found support around $35 earlier today.
- Next resistance at $38.
- The previous swing high of $39.6 draws DOT higher.
Today’s Polkadot price prediction is bullish as the market found support around the $35 mark earlier today and has strong bullish momentum as of now.
The overall continues pushing higher over the last 24 hours, with Litecoin (LTC) currently leading the field as it has gained 8 percent. Similar performance is seen for the leaders – Bitcoin and Ethereum with an upside of 4.84 and 7.15 percent, respectively.
Polkadot price prediction: Polkadot finds support at $35, pushes towards $38
DOT/USD opened at $35.95 today after several bearish days took the market price from $39.66 to $34.4. Since a new higher low and higher high was set previously, we expect the Litecoin price to have reversed the several-week consolidation in an increasingly tighter range after a strong retracement earlier last month.
Therefore, Litecoin should see a new local high set next week, with the next significant resistance located around the all-time-high of $42.61
Polkadot price movement in the last 24 hours
The DOT/USD price moved in a range of $34.69 – $38.11, indicating a good amount of volatility when compared to previous days. Trading volume has declined by 1.61 percent and totals $2.23 billion over the last 24 hours. Market cap stands at $34.8 billion, ranking Litecoin in 6th place among the top altcoins.
DOT/USD 4-hour chart – Polkadot tests resistance around $38
On the 4-hour chart, Litecoin has posted two solid bullish candles in a row earlier today. This movement likely indicates that the retracement towards the $35 mark has indeed resulted in a strong higher low set for the medium-term trend.
DOT/USD 4-hour chart. Source: TradingView
Overall, the market has traded in an increasingly tighter range for the past weeks after a very strong pullback took the Polkadot price from $42 to $28 in a couple of days. From there on, several lower highs and higher lows were posted as the market traded around the $30-$35 area.
At the beginning of this month, Polkadot finally managed to push higher and set a clear higher high at the $38 mark. After several days of retracement, Polkadot’s price did find support at the $32 mark and set a strong higher low, indicating that the wait for mid-term trend continuation to the upside is over.
What followed was another push higher towards the current high of $39.66 and another retracement that has set another high low around 61.8 percent Fibonacci retracement, indicating a perfect long-position entry opportunity in terms of risk-reward.
Currently, DOT pushes higher again and has already reached previous resistance of around $38. If this resistance is broken, we can expect a swift move towards the current local high of $38. From there, if the Polkadot price can continue its bullish momentum, we are likely to see the all-time-high of $42.6 tested next week. Once this level is breached, Polkadot has no more resistance ahead, and we could see a continuation of exponential bullish market movement during the first weeks of 2021.
Alternatively, suppose the current resistance at $38 holds Polkadot from further upside. In that case, we could see another short-term correction and retest towards the $35-$35 area, from which a long position could be taken as long as the current higher low is not breached.
Polkadot Price Prediction: Conclusion
Polkadot price prediction is bullish as the market has set a clear higher low around the $35 mark, which held the price from moving any lower yesterday. From there on, we are sure to see the Litecoin price move even higher and break the current high of $39.66 next week or perhaps even by the end of tomorrow.
While waiting for Litecoin to set a new higher high, read our Bitcoin price prediction for upcoming years or our guide on Ripple mining.
Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.