Polkadot (DOT) is up 11% over the past seven days, with analysts predicting it could register a 2x increase after breaking out of a rare falling wedge pattern.
DOT has registered a sharp increase this week, buoyed by network developments and an overwhelming investor response to the results of the US presidential elections.
Polkadot (DOT) Sees Bullish Week
After spending most of the previous week in the red, investors had reason to cheer as DOT shrugged off its recent bearish sentiment to reclaim $4 and set itself on a path to $4.50. According to technical indicators and analysts, DOT may be on the verge of a significant bull run. DOT was firmly in the red as it ended the previous week with a drop of over 3%, falling to a low of $3.65 before settling at $3.78. The current week began with DOT dropping by 0.79% on Monday and settling at $3.75 as sellers continued to dominate the market.
Source: TradingView
However, market sentiment began changing on Tuesday in the runup to the elections, and DOT registered an increase of 2.93% and settled at $3.86. Bullish sentiment increased substantially on Wednesday as DOT rallied 6.48% to reclaim $4 and settle at $4.11, below the 20-day SMA. DOT pushed above the 20-day SMA on Thursday, rising by 1.46% and settling at $4.17. Bullish sentiment picked up again on Friday as DOT went above the 50-day SMA after an increase of 3.60%, reaching a high of $4.39 before settling at $4.32. The current session sees DOT up by 1.16% and trading at $4.37 as buyers look to push above $4.50.
Is Polkadot (DOT) Primed For A Rally?
Polkadot (DOT) has been in the green for the 5th day, continuing its rally towards $4.50. Despite its recent price struggles, investors are bullish about DOT’s future price movement and believe DOT is primed for a breakout. One reason for this belief is a falling wedge pattern that DOT has been forming since August. According to one analyst on X, DOT could surge to $9 or $10 when it breaks out of this pattern, a 2x increase for the ailing token. With the RSI and MACD also indicating intense bullish sentiment, it looks like DOT has finally rid itself of bearish sentiment and could see a strong rally soon.
Investor interest is also returning, with DOT reporting a 50% increase in daily trading volume.
“$DOT is Once again Breaking out of a Falling Wedge Pattern after a Long Downtrend. Expecting up to 2x Bullish Rally in the coming days so Don’t miss the Ride.”
For now, buyers will look to maintain control and push DOT higher. With the altcoin moving past the 20 and 50-day SMAs, it is primed for a push towards $4.60. A break above this level could see DOT surge to $5, should buyers maintain control. Another factor driving DOT’s surge is the launch of Hyperbridge on Polkadot. Hyperbridge allows Polkadot users to seamlessly connect to other chains, including Ethereum, Base, Optimism, Arbitrum, and Binance Smart Chain, and facilitate seamless movement of assets between chains.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
