Polkadot's DOT Climbs Back to Key $3.96 Milestone as Buyers Step In Following a Dip

Key Points:

Polkadot’s bullish momentum seems to be re-emerging after a 7% drop.
The token successfully reclaimed a significant psychological threshold at $3.96.

Market Overview:

Polkadot’s DOT has shown signs of recovering after successfully reaching a crucial support level at $3.96. The CoinDesk Research technical analysis indicates a potential return of bullish trends.

The DOT token fell 7% from a peak of $4.038, hitting a low of $3.753, but found strong support and rebounded. Recent trading shows the token is 1.3% lower, hovering around $3.97.

Technical Analysis Insights:

The price of DOT-USD corrected by 7.06%, establishing substantial support before making its way back up.
The price trajectory has resulted in the formation of an ascending channel post-correction, with a reclaim of the $3.95 level noted amid increasing buying enthusiasm.
A notable spike in trading volume was recorded, exceeding 5.9 million during the drop and 1.7 million during the recovery.
Key resistance is identified in the $3.98-$4.00 range, with immediate support at $3.95.

Disclaimer: This article contains content generated with the help of AI tools, which has been offset by our editorial team to verify its accuracy and standards.