Polkadot is one of the top performers. It is easy to see what the tailwinds are: Kusama’s Parachain auctions.
For traders who may be puzzled by these sharp gains, Polkadot is the primary chain.
Think of the Bitcoin–Litecoin relationship where the latter is more like a lab for executing “risky” experiments.
Kusama is an active playground, a battlefield that’s helping pump DOT prices to spot levels.
Polkadot Market Performance and Price Status
And this was expected.
Fundamentally, Polkadot (and Kusama) will likely print new H2 2021 highs at the back of solid demand for KSM.
The coin is required for voting investor-popular projects.
While the same isn’t active in Polkadot, once Parachains are activated, and crowd-loaning becomes a thing, Polkadot will almost likely breeze past $45—its all-time high.
Accordingly, most traders maintain that the coin is one of the most undervalued, deserving a slot in the top-5 in the coming few months.
At the time of writing, DOT prices are relatively stable.
Notably, the coin is at new H2 2021 highs, stabilizing with decent trading volumes following the August 31 break below the late August 2021 consolidation.
Unique, the upswing is with a clear uptick in trading volumes signaling a potential shift in trend from stable to active, precisely what ambitious traders are pumped for.
Presently, Polkadot prices are up double digits week-to-date versus the USD. With these tremendous gains, DOT is also outperforming BTC and ETH in the same time frame.
Polkadot “To the Moon”
Because of incredible gains posted on August 31, Polkadot crypto traders are ecstatic, expecting even more profits in the days ahead.
One took to Twitter confident that DOT could “moon” in the days ahead.
— Brook_Pro 🇪🇹 (@BrookBiruk3) August 31, 2021
From price action in the 4HR chart, the coin is trading within a bullish breakout pattern, clearing August 2021 highs. Since the breakout is with high volumes and technical indicators favor buyers, the analyst’s view is that DOT could breach $36 in the immediate term.
The high investor/trader demand is enabling this surge now that DOT prices are firm above the analyst’s momentum indicators.
DOT to $150, a 5X Rally Developing
However, there is one ambitious trader basing price action in the monthly chart. The analyst believes that the coin is grossly undervalued at spot rates. As such, bulls won’t stop until DOT is at $150—a massive 5X from spot rates.
Target 158 pic.twitter.com/KWpMtUYss7
— Market Eagle (@MarketEagles) August 30, 2021
It may seen untenable, but Polkadot is a work in progress—this is a fundamental trigger. At the same time, candlestick arrangements in the monthly chart point to strength.
With the upswing of August, there has been a sharp reversal of the three-bar bearish reversal pattern, the dreaded Morning Star.
Since DOT bulls are back in contention, the analyst’s lofty target—even with a short reference period—looks achievable.
Polkadot Bulls Eyeing $45—All-Time Highs
On Trading View, another trader re-affirms the bullish state of the DOT market.
Although Polkadot buyers are firmly in control, there hasn’t been a conclusive break away from $30—a significant liquidation point.
Once there is a close above $32, DOT bulls could quickly push the coin towards $45—all-time highs, or better in the medium term.
Charts courtesy of Trading View
Disclosure: Opinion is that of the author. Do your own research.
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