Polkadot (DOT) showed some positive movement over the past day, climbing about 2%. The price has been moving in a downward channel, which traders have been watching closely.
Top analyst ZAYK Charts suggested on X that a breakout from this pattern could push DOT’s price towards the $9 mark. The token has been moving within a defined range, testing both support and resistance levels, raising speculation about a potential trend reversal.
What you'll learn 👉
Polkadot Chart Analysis
The chart under review highlights a descending channel in the 8-hour timeframe. The price keeps moving between the two main lines on the chart.
The top line stops it from going higher, while the bottom line catches it when it falls. Over the past few weeks, DOT’s price has been trending down – each time it hits the top line, it falls back down, but it’s finding support when it reaches the bottom.
Recently, DOT bounced up from the bottom line, which means more people are starting to buy. If the price maintains this momentum, it could test the upper resistance once again.
DOT Support and Resistance Levels to Watch
The lower boundary of the descending channel has served as a dynamic support level, preventing further decline. We’ve seen DOT touch this bottom level several times now, and buyers keep stepping in when it does. Meanwhile, the top line is still keeping the price in check – whenever DOT reaches it, it gets pushed back down.
For a bullish breakout, DOT must surpass this resistance zone with increased trading volume. A confirmed breakout could indicate a shift in trend, opening the possibility of further price gains. If rejection occurs at the upper trendline, the price may continue its movement within the descending channel.
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Polkadot Breakout Potential and Price Targets
According to ZAYK Charts, if DOT successfully breaks out of the descending channel, the next target could be $9. This level aligns with previous resistance points, making it a key area to watch. A breakout would need confirmation through a higher high and a retest of the broken trendline as new support.
Market participants will be watching for an increase in volume, which could validate the breakout scenario. Without sufficient momentum, DOT’s price may remain within the current pattern, delaying any potential move toward higher levels.
The tweet from ZAYK Charts outlines the ongoing pattern and the possible breakout scenario. Analysts are observing whether DOT can overcome resistance and initiate a bullish trend. The market reaction to these technical indicators will determine the price action in the coming sessions.
As traders assess DOT’s price movement within the descending channel, the focus remains on whether a breakout will materialize. The next few trading sessions could provide further clarity on whether DOT is poised to reach the projected $9 target.
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