Polkadot's Recovery Hinges on Clearing Key Resistance Level
Polkadot's price has been on a recovery path since late August after experiencing a drop of more than 75% over roughly ten months. The token, which was trading at around $4.50 last October, fell to a low near $1.00 in June through August.
The price has now climbed back to $1.1704 and is sitting just below the key resistance level of $1.2751. This level marks a significant hurdle for Polkadot's price movement, as clearing it would be the first real technical evidence that the downtrend is over.
According to technical chart analysis, the 20 EMA is at $1.1268 and the 50 EMA at $1.0250. These EMAs sit close to the current price, unlike most charts where they trail further behind. The EMA zone is considered a crucial support level to watch if the pullback continues.
Polkadot's bull case suggests that if the price holds the EMA zone and turns back up, it can make another run at $1.2751. A confirmed close above this level would be the first real sign the year-long downtrend has ended, opening the way toward $2.0171.