As $DOT hovers around the $7.04 mark, traders are closely watching its price action for signs of a potential breakout. The cryptocurrency is testing a critical resistance level at the EMA50, currently at $7.26, and a successful breakout above this could signal the start of a bullish trend.
The support zone between $6.11 and $6.90 remains a crucial area to watch. As long as DOT stays above this range, the price has the potential to push higher. However, if the price falls below this support, the risk of further downside increases.
The RSI indicator suggests reduced selling pressure, hinting at a potential trend reversal and providing additional support for a possible breakout. If DOT can break through the resistance levels, the next major target could be $10.42.
With key levels in play, now may be the time to watch for a breakout. But, as always, consider your risk tolerance and monitor market movements closely before making a move.
