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Polkadot Bulls Defiant, Expecting DOT/USDT to Rally Above $30

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The crypto market was unforgiving in the past 24 hours.

Crashing bear bars and ballpark double-digit losses were the order of the day.

Polkadot, meanwhile, was wrenched.

DOT/USDT is dripping in red—a tribulation and undoubtedly a testing time to be a DOT holder.

DOT Market Performance

For a perspective of just how insane price action has been, DOT is down over 60 percent from 2021 peaks.

The coin is also trailing ETH and BTC month-to-date, sinking double digits.

However, there was something else that was markedly different from previous sessions.

For the second time in less than three weeks, the liquidation of DOT was with increasing trading volumes.

This only meant one thing: Either a climactic sell-off marking the end of the bear run or the beginning of massive correction that will be gut-wrenching for Polkadot believers, investors, and traders.

Polkadot Bears on the Prowl

Chartists observe weaknesses across the board.

For one, DOT/USDT bulls are not as firm as expected.

Trading volumes might have tapered and price action leveling out inside May 24 bull bar. Still, this heaviness in DOT favors sellers in the short term.

It may be pessimistic but practical, reading from events out of the daily chart.

In a descending wedge, DOT prices are capped at $20 to the downside.

On the flip side, the middle BB and $30 marks the liquidation line that also distinguishes bears from bulls.

DOT Resistance at $30, Will Bulls come on Top?

One trader on Trading View thinks DOT/USDT could soar to $36 in a buy trend continuation pattern.

T_V_TreeTrader--Polkadot

At present, prices have broken above the wedge but remained inside the influence of the May 19 bear bar.

Still, in an ABCD formation, T_V_TreeTrader is confident that the uptrend is valid and DOT buyers stand a chance.

The bullish setup, ich1baN, confirms is valid for DOT.

Technically, there are bullish signals in the 4HR chart from an EMA crossover.

At the same time, MACD is turning bullish in the daily chart. This, he adds, is “amazing” from a technical point of view.

Most notably, this development is a few days before Polkadot announces the launch of parachains.

DOT/USDT to reach $50 by August 2021

And because of parachains and other supportive news that will genuinely make Polkadot interoperable, Paul Barron on YouTube projects DOT prices to reach $50 by August 2021.

This is based purely on sentiment analysis, drawing on investors’/traders views on the project and coin by projection.

For instance, during the fall in mid-May, DOT had a sentiment reading of around 45. It had been low for a while. However, even when prices edged lower, bouncing and registering marginal gains, DOT’s sentiment reading rose to around 51.

From this projection, the analyst notes that once DOT/USDT critically closes above $30—in around July—the subsequent push higher will drastically improve Polkadot’s sentiment reading, helping lift the coin towards $50—tentatively by August 2021.

Charts courtesy of Trading View

Disclaimer: Opinions expressed are not investment advice. Do your research.

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