Will Polkadot (DOT) Price Hit $8 Soon? Analyst Weighs In

Polkadot has started turning heads in the crypto market after breaking out of its recent price pattern. Top analyst World of Charts shared on Twitter

Polkadot (CRYPTO: DOT) has been making waves in the crypto market after breaking out of a recent price pattern. Now, a top analyst is sharing their thoughts on whether DOT could hit $8 soon and what price points matter going forward.

Polkadot Price Patterns: Breakout and Retest in Focus

Taking a closer look at the DOT chart, we can see a period of drastic price movement. Coming off a historic uptrend in 2021, DOT’s price transitioned into a prolonged downtrend, indicating a bearish market.

A descending resistance trendline, originating from the all-time high, played a crucial role in this downtrend. This line of resistance was respected multiple times by the price as it continued to drop lower.

A turning point emerged in late 2023 when DOT’s price broke out of a falling wedge, a chart pattern that's often associated with bullish reversals. Following the breakout, DOT’s price retraced to a strong support zone, ranging from $4 to $5.

As you can see on the chart, DOT’s price has been consolidating within this range, setting the stage for a potential breakout to the upside. This retest phase aligns with the tweet's observation, suggesting that this range could provide a favorable entry point for midterm traders.

Polkadot Support and Resistance Levels

Taking a broader view of DOT’s chart, we can identify several key support and resistance levels that have influenced its price movements.

On the downside, the $4–$5 zone has acted as a robust horizontal support, with prices bouncing from this area several times. On the upside, resistance levels have been identified at $8, $12, and $20.

In the tweet, the $8 level is highlighted as an “easy target,” which aligns with Fibonacci retracement levels and historical price action zones. If DOT’s price manages to break out of this range and hold above the $4–$5 support, we could see DOT rally to $8 in the midterm.

According to Fibonacci extensions, this level seems like a realistic target, indicating a potential 77% move to the upside from the $4.50 region.

DOT Bullish Momentum and Market Sentiment

Although specific volume data is not displayed in the tweet, the breakout pattern and consolidation phase often indicate increasing buying interest. The tweet emphasizes this bullish sentiment, suggesting that Polkadot's price is poised to resume its upward trajectory once market conditions align.

Overall, DOT's price movements and chart patterns align with the midterm bullish outlook shared in the tweet, providing an optimistic yet data-driven perspective. Market participants are advised to keep a close watch on the $4–$5 range for signs of sustained support as DOT gears up for potential midterm growth.

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