Polkadot Token (DOT) Price Sinks Back to Key Support Level
The Polkadot token (DOT) has experienced a significant surge in price, rising by 10.71% in just 24 hours to reclaim $1.18.
This breakout has been fueled by a combination of factors, including the broader crypto market's risk-on rotation and DOT's correlation with Bitcoin's directional momentum.
However, despite the impressive price action, technical indicators suggest that the rally may be losing steam. The MACD histogram has flattened out at the top, indicating a loss of momentum, while the RSI reading of 74 indicates overbought conditions.
A retest of the $1.06-$1.11 zone is now considered the more likely scenario, with a successful hold at this level potentially setting up a base for a second leg targeting $1.29 resistance and eventually $1.40 over the next 20-30 days.