Polkadot’s price has been trading within a defined range, attracting attention from traders and analysts. Elite analyst Crypto Shango suggested on X that if DOT revisits $4.35, it could present an opportunity for a long position, potentially reaching $5.60. This aligns with the current market structure observed in the DOT 4-hour chart.
DOT has been going through a rough patch lately, dropping quite a bit before settling into a holding pattern. The price has been bouncing between $4.35 on the low end and $5.60 on the high end. This back-and-forth movement suggests traders are building positions while waiting to see what happens next.
We’re seeing some buying interest whenever the price drops to $4.35, showing that people still want to get in at these levels. If this level continues to hold, DOT’s price could see another attempt to test its upper boundary at $5.60. However, failure to maintain momentum above key mid-range levels could lead to further price corrections.
What you'll learn 👉
Polkadot Price Key Support and Resistance Levels to Watch
The $4.35 region has acted as a demand zone where buying pressure has emerged in previous market movements. On the other hand, the $5.60 level has been a consistent supply zone, where selling pressure has prevented the asset from breaking higher. A mid-range resistance exists between $4.90 and $5.00, which could influence short-term price movements.
If DOT’s price revisits the support level and buyers step in, the asset could see a swing toward the resistance. But here’s the thing – if it drops below $4.35, the whole setup could fall apart, and we might see prices sink lower. On the flip side, if it breaks above $5.60 with strong trading volume, we could see DOT push past $6.00.
Read Also: Bittensor Gains Momentum: Here’s Why TAO Price Could Surge to $1,000
Analyst Tweet and Market Sentiment
Crypto Shango’s tweet lines up with what we’re seeing – traders are trying to profit from these swings between $4.35 and $5.60. The thinking is that if DOT touches $4.35 again, it could be a good time to buy with a target of $5.60.
People watching this setup are probably thinking about trades based on these price points, making sure to protect themselves if things go south. Most are waiting for clear signals – like higher volume or strong price reactions – before making any moves.
Trading Strategy Considerations
Looking at how things stand, traders interested in DOT might want to think about buying near $4.35, with a stop-loss just below that level. They could look to take profits when the price gets close to $5.60.
For those expecting a bigger move up, keep an eye out for a strong push above $5.60, especially if there’s heavy trading volume – that could signal the start of a bigger rally. But if Polkadot’s price can’t stay above the middle of the range, we might see another drop.
The next few days and weeks will be crucial as everyone watches to see which direction DOT ultimately breaks.
Follow us on X (Twitter), CoinMarketCap and Binance Square for more daily crypto updates.
Get all our future calls by joining our FREE Telegram group.
We recommend eToro
Wide range of assets: cryptocurrencies alongside other investment products such as stocks and ETFs.
Copy trading: allows users to copy the trades of leading traders, for free.
User-friendly: eToro’s web-based platform and mobile app are user-friendly and easy to navigate.
