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How Polkadot managed to remain bullish while broader markets saw fear

Disclaimer: The findings of the next evaluation are the only opinions of the author and shouldn’t be thought-about funding recommendation

A latest report explored whether or not Polkadot shaped a cup-and-handle sample and was getting ready for a pointy transfer upward. The promoting strain throughout the market prior to now few days ensured that such a transfer didn’t materialize. Nevertheless, the bulls nonetheless had some sway out there. But, it have to be remembered that Bitcoin may have a powerful affect on the route of DOT within the weeks to return.

DOT- 1 Day Chart

Polkadot remains bullish on the longer timeframes as the rest of the market saw fear

Supply: DOT/USDT on TradingView

In late December, DOT fell out of a descending triangle sample (white) and plunged to $16. The previous few months have seen the worth oscillate between the $16 lows and the $23.18 resistance degree.

In late March, the worth was capable of poke above the $23.18 degree, which is the next excessive and the beginning of a possible uptrend.

A set of Fibonacci retracement ranges (yellow) have been plotted from the swing low at $14.05 to the $23.85 swing excessive. The 61.8% and 70.2% retracement ranges have been examined as help.

A shopping for alternative could be discovered within the $16.15-$17.79 space, with the $23.85 and the $26.52 as potential value targets.

Rationale

Polkadot remains bullish on the longer timeframes as the rest of the market saw fear

Supply: DOT/USDT on TradingView

The RSI dropped beneath 50 in response to the sturdy drop from $23 prior to now two weeks. With a studying of 42, the momentum was not fairly strongly bearish, nor was the development on the each day bearish in response to the RSI.

The CMF additionally slipped beneath the -0.05 degree in response to the latest wave of intense promoting. Nevertheless, the OBV provided some solace to the bulls. It has not dropped beneath a degree that had been resistance in February, which meant that patrons nonetheless had some management over the route of DOT.

Conclusion

Polkadot has a bullish outlook for the following few weeks, offered Bitcoin doesn’t see a powerful drop beneath the $39k degree. This might spark additional concern out there. From a technical perspective, the market construction leaned towards the bullish aspect. Nevertheless, a drop beneath $16.15 may shift this bias.

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