Polkadot (DOT) is on Horseback – a Medium-term Target is $16

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Polkadot (DOT) is on Horseback - a Medium-term Target is $16

100% price movement in a week. This is the result by the token of the Polkadot project. The consolidation, which began in September 2020 and lasted almost 4 months, was broken at $6.

Buyers did not wait for the new year and on 28 December struck with all weapons. An important aspect of buyers’ success has also been the confident retention of the range $4.35-4.45:

Polkadot

A successful breakout in early November gave the first signal of the formation of a strong buyers’ position to begin growth. The main purchase of a large buyer is in the range of $3.88-4.35.

Since November, the price has not even touched this liquidity range. Though, sellers tried to do it three times. After the last failed attempt, a new growth wave began on 23 December, which until 28 December looked like another local wave within the triangle.

Polkadot (DOT) has become a prominent figure due to trading volumes

The increase in volumes in 3.5-5 times made it clear the change in the balance of power in the Polkadot (DOT) market.

According to Coinmarketcap, DOT is currently trading at $2,453,206,124. So imperceptibly Polkadot broke into the top-10 of all cryptocurrencies in daily trading volumes.

This fact shows that the recent strong upward momentum may be just the beginning. If you analyze the DOTBTC pair chart – it becomes clear that the growth potential for Polkadot is huge:

Polkadot

As you can see, buyers have managed to break the global downward trend. Now the price continues to be fixed above the green range, which since November 2020 symbolized the strength of sellers.

Successful consolidation above the range of 0.000272-0.000283 will provoke a new growth momentum by 45-50%. If the BTC price continues to grow, or at least be in consolidation, we think that the first target for continued growth is at $11.6. The global target for the medium term is $16.

Buyers’ zones of interest are in the range of $7-7.5

Also, Full Time Trader Michaël van de Poppe shares our opinion:)

He believes the DOT’s next growth target is $12, and the liquidity zone where buyers may be interested in greedily buying is $6.5-7.5.

Indeed, in the range of $7-7.5 there is a critical point below which buyers should not allow price to fall. Otherwise, Polkadot (DOT) will return to the limits of the consolidation channel and sellers will take aim at $5.64.

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Peter Oleshchuk

Peter is a crypto analyst who after getting acquainted with the cryptocurrency market in 2017, immediately transferred it to the friend zone. Peter's passion is analysis and forecasting of the cryptocurrency market, including the DeFi space. In his articles you will find accuracy and prudence.

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