Polkadot (DOT) has been steadily rising over the past week, recovering from an intra-day low of $4.94 on July 5. Although it has seen some volatility, DOT’s recent performance has been encouraging for traders and market watchers.
The cryptocurrency is now approaching the $6.50 mark, and many are hopeful it will break above this level soon.
Polkadot (DOT) Price Analysis: Testing Resistance at $6.50
Polkadot (DOT) has been on an upward trajectory over the past week, recovering from a dip below the 20-day Simple Moving Average (SMA) to settle at $6.11. Following this recovery, DOT showed strength over the weekend, rising by 1.96% on Saturday and 1.44% on Sunday to end at $6.32. Despite this positive momentum, DOT struggled to push higher due to resistance from the 50-day SMA.
Source: TradingView
On Monday, DOT managed to surpass the 50-day SMA, reaching $6.49 and approaching the key resistance level of $6.50. However, selling pressure pushed DOT back to a low of $6.14 on Tuesday. Despite this decline, DOT maintained its position above the 20-day SMA and managed to rebound to $6.34, a decrease of 2.31%. In the current session, DOT is up by 2.31%, with buyers attempting to test the $6.50 resistance level again.
Looking ahead, DOT’s rebound from $6 suggests strong demand at lower levels, potentially setting the stage for a move towards $7 if it can break through the $6.50 resistance. The next significant resistance level is at $7.40. Conversely, if selling pressure persists, DOT might drop back towards the 20-day SMA or its support level at $6.
Polkadot (DOT) June 2024 Report Highlights Key Developments
Polkadot (DOT) recently released its June 2024 report, showcasing significant advancements and updates across its ecosystem. A major highlight is the substantial increase in the usage of Snowbridge, the bridge connecting Polkadot and Ethereum, which was launched less than a month ago. This surge in Snowbridge usage marks a noteworthy achievement for Polkadot.
The report also provides important updates on the Alpha Program, a key initiative designed to offer developmental opportunities for new teams. In June, the Alpha Program welcomed Blockdeep Labs, which will offer Substrate advisory calls and code reviews to participating teams. Additionally, the OpenZeppelin team has completed the development of a comprehensive EVM Parachain Runtime template, which is set to be published following an audit. This template is expected to enhance the capabilities and functionality of Polkadot’s parachains.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
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