Polkadot (DOT): Towards $20 or Back to $9? Here's the analysis

Bittime –Polkadot (DOT)saw a comfortable increase over the past week, with a gain of over 13%.

Currently, DOT is trading around $10.95 with a market cap of over $14 billion, ranking it the 13th largest cryptocurrency according to CoinMarketCap.

Based on the latest data, DOT has the potential to show better performance in the coming weeks. In fact, there is a possibility that DOT will soon touch the $20 mark.

Will Polkadot Set a New Record?

Apart from the price increase, DOT's popularity in the crypto space is also demonstrated by the increase in Social Volume. However, on the other hand, DOT trading volume in 24 hours actually decreased.

Interestingly, on March 12, World of Charts posted a tweet highlighting interesting developments surrounding DOT. The analyst predicts the token price could plummet to $9 before starting a rally (sharp price increase).

If DOT manages to bounce back from $9, then its chances of touching $20 become very high. Therefore, AMBCrypto investigates whether the chances of DOT dropping to $9 are reasonable.

Data analysis from Hyblock Capital shows that Polkadot has experienced high liquidations in recent days. To be precise, DOT liquidations increased between $10.8 and $10.9.

This is likely the reason behind DOT's sluggish 24-hour performance, where the price moves little. This increase in liquidations may soon result in a mild price correction.

Check Today's Crypto Market:

DOT Price Today

Source: Bittime

The graph above shows the changing conditions of DOT prices in the last 4 hours. The chart contains 3 indicators, namely RSI , Bolinger Bands , and MACD . These three indicators are general determinants that are usually used by investors to see the condition of a crypto token.

As you can see, DOT has a price of IDR 176,624 with an increase of +1.04%. This price is always changing because previously, DOT was also at its highest price, namely IDR 178,106.

Also Read: Will XRP Experience a Bull Run and Hit a Record High? This is the Price Prediction in 2024–2025

Prediction for DOT

Decreasing Demand in Derivatives Market: Analysis of Santiment data by AMBCrypto shows that demand for DOT in the derivatives market is decreasing. This can be seen from the decline in the Binance Funding Rate, which means derivative investors are not buying Polkadot at high prices, hinting at a possible price correction.

Declining Price Volatility: DOT's 1-day price volatility indicator also dropped, indicating that DOT's bullish rally may be coming to an end.

Daily Chart Analysis: To better understand whether DOT price can reach $9 before the next rally, AMBCrypto analyzed its daily chart.

The analysis shows that Polkadot price has touched the upper limit of Bollinger Bands.

The Relative Strength Index (RSI) is also showing a decline, signaling high chances of a price decline. If the price falls, it will be interesting to see if DOT manages to bounce back from the support zone to reach $20.

Also Read: Bitcoin Spot ETFs Record Record Inflows

Increased Network Activity

Despite facing a potential correction, Polkadot network activity actually increased last week. Artemis data analysis by AMBCrypto shows that Daily Active Addresses DOT surged in the last seven days. As a result, the Daily Transactions blockchain has also experienced improvements.

Also Read How to Buy Crypto:

Conclusion

The outlook for Polkadot (DOT) is still not completely clear. Although there are indications of a potential rise to $20, on-chain and technical data suggest a correction to $9 is likely first. Investors need to pay attention to various indicators and analysis to make the right investment decisions.

How to Buy Polkadot (DOT) on Bittime

You can buy and sell Polkadot (DOT) in an easy and safe way via Bittime . Bittime is one of the best crypto applications in Indonesia which is officially registered with Bappebti. 

Polkadot (DOT) is available on Bittime with the market pair DOT/IDR . To be able to buy DOT IDR at Bittime, make sure you have registered and completed identity verification. Apart from that, also make sure that you have sufficient balance by depositing some funds into your wallet. For your information, the minimum purchase of assets on Bittime is IDR 10,000. After that, you can purchase crypto assets in the application. 

Learn the complete guide on how to buy Polkadot (DOT) on Bittime . 

Monitor price chart movements for Polkadot (DOT) , Bitcoin (BTC), Ethereum (ETH) , Solana (SOL) and other cryptos to find out today's crypto market trends in real-time on Bittime.

Also Read: 

Polkadot (DOT) Price Analysis: Can It Reach $10?

AVAX and DOT: Will They Join the Surge After Bitcoin Surpasses $65,000?

Arbitrum (ARB) and Polygon (MATIC) Lead after Ethereum Dencun Upgrade

DISCLAIMER : This article is informational in nature and is not an offer or solicitation to sell or buy any crypto assets. Trading crypto assets is a high-risk activity. Crypto asset prices are volatile, where prices can change significantly from time to time and Bittime is not responsible for changes in fluctuations in crypto asset exchange rates.