Polkadot News Today: Polkadot (DOT) Gains 2.3% on Strong Volume and Governance Boost

Polkadot (DOT) is showing signs of bullish momentum as it trades above the $3.85 level, supported by technical indicators and increased trading volume. The relative strength index (RSI) is near 60, indicating rising buying pressure without entering overbought territory, while the moving average convergence divergence (MACD) remains positive, reinforcing the upward trend. Daily trading volume has reached $219.9 million, reflecting sustained market participation and strengthening the case for further price appreciation [1].

The price structure of DOT suggests potential movement toward the $5.33–$8.84 range, assuming key support levels remain intact. Short-term moving averages, including the 5MA and 10MA, are positioned above the 20MA, reinforcing a positive bias. If DOT continues to hold above $3.85 and resists the immediate resistance at $4.00, the path to the projected target becomes more likely. However, traders are advised to monitor volume levels and moving average alignment to confirm the strength of the trend [2].

Recent governance developments have also added a structural positive to the DOT outlook. The Polkadot DAO recently approved the implementation of Hyperbridge as the native bridge for cross-chain transactions involving DOT and vDOT. This decision enhances interoperability across multiple blockchains, aligning with Polkadot’s broader infrastructure goals. Improved cross-chain utility can increase use cases and liquidity, potentially boosting demand for DOT in the long term [3].

Technical strategies for traders include using the RSI to avoid entries near overbought levels (above 70) and treating the MACD crossover as a momentum confirmation. When used in conjunction with moving averages and volume spikes, these tools can help identify high-probability entry points. A reasonable near-term price target, based on current conditions, ranges between $5.33 and $8.84, provided support around $3.85 holds and no significant macroeconomic shocks emerge [4].

At the time of reporting, DOT traded at $3.85, representing a 2.3% increase within a 24-hour range of $3.72–$3.91. The market cap is approximately $5.86 billion, with a circulating supply of nearly 1.52 billion tokens. Analysts highlight that maintaining levels above the June low remains critical for preserving upside potential under favorable conditions [5].

Overall, the combination of bullish technicals, strong volume, and supportive governance news presents a constructive outlook for Polkadot in the near term. Traders and investors are advised to closely monitor price behavior around key levels, volume trends, and further governance updates to make informed decisions and manage risk effectively.

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Source:

[1] Polkadot (DOT) Could Be Poised to Move Toward $5.33–$8.84 as Technicals Strengthen

[2] Polkadot (DOT) Could Be Poised to Move Toward $5.33–$8.84 as Technicals Strengthen

[3] Polkadot (DOT) Could Be Poised to Move Toward $5.33–$8.84 as Technicals Strengthen

[4] Polkadot (DOT) Could Be Poised to Move Toward $5.33–$8.84 as Technicals Strengthen

[5] Polkadot (DOT) Could Be Poised to Move Toward $5.33–$8.84 as Technicals Strengthen

URL: https://en.coinotag.com/polkadot-dot-could-be-poised-to-move-toward-5-33-8-84-as-technicals-strengthen/