Polkadot (DOT) Eyes Relief Rally as Key Price Levels Face Test: Expert Calls the Token 'Wildly Undervalued'

Polkadot has shown resilience lately, standing firm while other cryptocurrencies took a hit. The DOT token is now at what many consider a pivotal moment—push past current resistance and a meaningful recovery in price could be next.

Polkadot (DOT) has been displaying remarkable resilience as it managed to hold its ground while other cryptocurrencies experienced downtrends. The DOT token is now at what many consider a pivotal moment—push past current resistance and a meaningful recovery in price could be next.

As the broader cryptocurrency market experienced shaky trading on Wednesday, major units of the crypto world, including Bitcoin, Ethereum, and Cardano, reported losses of 3% to 7% over the last 24 hours. However, Polkadot (DOT) bucked the trend, showing strength and actually gaining value.

Analyst Uzair took notice, highlighting not just this price action but also Polkadot’s growing ecosystem and the team’s dedication to sustainable development rather than short-term hype. According to Uzair, DOT remains wildly ‘undervalued’ despite its growing adoption and increasing network activity.

"While the market was deep in red yesterday, $DOT held its ground and now it’s up Almost 10% in the last 24 hours

That kind of strength and resilience says a lot.

But let’s be honest DOT remains wildly undervalued. With a rapidly expanding @Polkadot ecosystem and a team that ..."

Crypto Winkle pointed to three major factors that could drive further bullish momentum. The Polkadot treasury recently burned over 146,000 DOT, reducing supply.

Moreover, Grayscale’s ETF filing signals growing institutional interest. Besides, the upcoming JAM upgrade aims to enhance the network’s scalability, security, and interoperability. These developments reinforce optimism around DOT’s potential upside.

Polkadot price Analysis: Crucial Resistance at $5.20

World of Charts provided a detailed analysis of DOT’s price action, indicating that the asset has been in a prolonged downtrend since December. The price recently found strong support around the $4.00 level, leading to higher lows throughout February.

Additionally, a descending trendline that has continuously stopped upward moves coincides with the main resistance zone that DOT is testing around $5.10 and $5.20.

" $Dot #Dot Seems Like Polkadot Finally Ready For Relief Rally, Testing Crucial Resistance, Successful Breakout Can Lead Solid Recovery."

A strong rally might be triggered by a successful breakout over $5.20, with the next target zones being $7.00 and $7.50. The anticipated move points to a $9.00 potential upside.

However, if DOT faces rejection, it may retest support at $4.50 before attempting another breakout. The analyst stresses the importance of volume confirmation to validate any breakout attempt.

Read also: Onyxcoin (XCN) Price Can Still Reach $1 This Bull Run—Here’s Why

Growing Market Interest and Bullish Momentum

Data from CoinGecko shows that DOT’s daily trading volume is about $393.55 million at press time, which signals interest from investors.

At the time of writing, the price has risen nearly 3% over the week, with most of that gain (over 5%) happening in the last 24 hours. The growing momentum suggests that traders are positioning for a potential breakout.

The next few days will be crucial for DOT’s price action. A decisive move above resistance could mark the beginning of a bullish reversal. But failure to break through may lead to further consolidation before another attempt.

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