Crypto analyst Ali Charts maintains a bullish stance on Polkadot (DOT) as the token breaks above $10. The analyst’s technical analysis suggests DOT could reach $11 before a temporary pullback, setting the stage for a larger upward move to $22.
DOT has gained over 22% in the past week, trading at $10.29 as at publication.
DOT’s Analysis Shows Strong Breakout
The latest chart analysis from Ali Charts reveals DOT’s emergence from a prolonged downtrend that began in 2022.
The token has formed a solid base above the $3.5-$4 range, which served as major support through late 2023. DOT’s price action shows a clean break above the $8.5-$9.5 resistance zone, marking the first breach of 2023’s peak levels.
Multiple support levels have established around $6-$6.5 during the recovery phase. These levels could act as buffers against any sharp declines. The breakout above $9.5 validates the shift in market structure, suggesting sustained buying pressure.
Trading Volume Confirms Upward Movement
Data shows DOT’s 24-hour trading volume has reached $2.3 billion. The substantial volume accompanies a 13.84% price increase over the past day.
Moreover, this surge in trading activity backs the technical breakout observed on the charts.
Three-Phase Movement Projected
Ali Charts outlines a three-phase movement for DOT’s price trajectory. The first phase targets the $10-$11 range, which DOT has now entered. A retracement to $7.5 marks the second phase, potentially offering buyers another entry point.
The final phase projects a move toward $22, aligning with mid-2022 resistance levels.
The TD Sequential indicator on the chart displays completion signals, suggesting a potential consolidation period before the next directional move. These technical patterns support the analyst’s projected path for DOT’s price development.