Polkadot Holds above $6.00 Due to Heavy Buying Pressure

Polkadot (DOT) Price Long-term Trend: Ranging

Polkadot (DOT) price recovers above $6.00 due to heavy buying pressure. The Bulls purchased the dips on December 20 when the altcoin dropped to a low of $6.06. The altcoin tested the 50-day SMA three times and corrected upward without significant progress. Buyers made unsuccessful attempts on January 6 to hold the price above the $8.00 resistance level and the 50-day SMA.

Polkadot will start a bullish trend if buyers clear the $8.00 resistance. In the meantime, the DOT price is consolidating above its current $6.50 support level. The altcoin’s current value is $6.75.

Technical indicators:  

Key Resistance Levels: $10, $12, $14
Key Support Levels: $5, $3, $1

Polkadot Indicator Analysis 

The price bars are once again below the lines of the moving average.A negative crossover of the moving average lines on both charts suggests adverse conditions. The price bars’ resistance line is the 21-day SMA. A lengthy candlestick tail is pointing in the direction of the $6.00 support. It suggests that there is significant buying pressure at lower price points.

General Outlook for Polkadot (DOT)

Polkadot is trading above the $6.50 support and below the $8.00 resistance due to heavy buying pressure. The selling pressure has subsided as the altcoin consolidated above the $6.50 support. The cryptocurrency signal is range-bound above the $6.50 support as it keeps its downward trend.

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