Polkadot (DOT) crosses $20 level after strong rebound

Polkadot (DOT) has been moving upward since July 20 and has regained the horizontal support area at $17.10.

Sponsored DOT

is rising along an ascending support line and the bullish trend remains intact as long as this line is respected

.

Polkadot rebound

Polkadot has been rising since July 20, after hitting a low of $10.37. On August 1, it managed to move above the horizontal area of $17.10 and confirmed it as support three days later. Since then, the altcoin

has continued to rise and managed to reach a local peak at $21.68. Sponsored

The technical indicators on the daily interval are bullish, supporting the continuation of the upward movement. This is especially evident on the MACD

, which has moved above the 0 line.

The nearest resistance area is at the $30.10 level

.

This target is the resistance level at the 0.5 Fib retracement.

Polkadot (DOT) crosses $20 level after strong reboundPolkadot na wykresie dziennymDOT chart courtesy of Tradingview

Future movement

The six-hour chart provides mixed readings.

On the bullish side, we see that DOT is following an ascending support line and bounced off it on August 9 (red icon).

However, both MACD and RSI

have generated bearish divergence (blue). Nevertheless, the latter formed a hidden bullish divergence (red) followed by the aforementioned bounce.

Therefore, as long as the support line remains intact, DOT is more likely to continue rising.

Polkadot (DOT) crosses $20 level after strong reboundPolkadot (DOT) crosses $20 level after strong rebound DOT chart courtesy of Tradingview

Also on the 2-hour chart, we can see that the decline due to the divergence is now over.

After this short-term correction, the MACD gave a bullish reversal signal and the RSI moved above 50.

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If DOT reaches a new local high, the first minor resistance level would be at $23.45

. Polkadot (DOT) crosses $20 level after strong reboundKrótkoterminowy wykres DOT <a href=”https://www.tradingview.com/symbols/DOTUSDT/?exchange=BINANCE”>DOT chart by Tradingview

DOT/BTC

Cryptocurrencytrader @CryptoCapo_ outlined the DOT chart, stating that the price is bouncing off the gold area and that a bullish reversal would be confirmed by a move above 67,000 satoshis.

Polkadot (DOT) crosses $20 level after strong reboundPolkadot (DOT) crosses $20 level after strong reboundSource: Twitter

Between July 12 and July 29 (red circle), DOT/BTC appeared to have broken below the support area at 45,000 satoshis.

However, it began an upward move shortly thereafter and regained that area on August 1. This is extremely bullish behavior, as a move below this level is usually followed by a significant move in the opposite direction.

This is also confirmed by technical indicators, especially RSI and MACD. The former has just crossed the 50 level, while the latter has formed a bullish cross.

The nearest resistance area is at the 57,500 satoshis level.

Polkadot (DOT) crosses $20 level after strong reboundCena Polkadot w relacji do BitcoinDOT/BTC chart courtesy of Tradingview

For the latest analysis of Bitcoin (BTC) by BeInCrypto, click here.

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