Polkadot rallies in less than a week from $2.5 to all-time highs at $6.58.
DOT/USD bulls plan on building upon the support at $6.50 for gains above $10.
Polkadot has been on a journey of breaking barriers after rebranding from the former ICO token, New Dot. The cryptoasset commenced trading several exchanges including Binance on August 19. The trading from the launch has been action packed with the price first hitting highs around $5.75. An immediate reversal took place with DOT/USD embracing support $2.5. The dive was followed by a period of consolidation in a range between $2.5 and $3.0.
An incredible bullish price action commenced after a sustained break above the resistance brought about the 50 Simple Moving Average (SMA) in the 1-hour range. There was struggle to clear the seller congestion at $4.50, the 61.8% Fibonacci retracement level of the last drop from $6.58 to a swing low of $63.69 as well as $6.0.
The bullish momentum continued in several candles before DOT hit a new all-time high at $6.58. Another reversal took precedence pulling Polkadot to the short term support at $5.81.
In spite of the barrier suffered at $6.58, DOT bulls have not given up on their mission to scale the remaining ground to $10. The crypto has a market value of $6.08 at the time of writing.
Short term analysis shows that bears are gaining momentum. For instance, the MACD is in the positive zone but also featuring a bearish divergence. In addition, the RSI has slowed down the uptrend, settling above the midline.
If losses come into the picture, support at the 61.8% Fibo (50 SMA), $5.14, $4.5 and $3.69 will come in handy. However, if support at $6.0 holds, there is a huge chance that bulls will build on it for a much awaited approach to $10.0.
Luke has had a long interest in financial technology, especially cryptocurrency and blockchain. With a Bachelors degree in Journalism and Media, Luke is dedicating his writing skills for the digital currency sphere.He can be contacted at email@example.com