In these days of great volatility, several predictions have been made on the price of Polkadot (DOT), which are decidedly divergent from each other.
Polkadot close to ATH
The price is currently around $42, but until a few days ago it was below $40. In fact, at the end of September, it had even fallen as low as $26, after having reached $37 in the middle of the month.
It is worth noting that the all-time high of $49.35 on 15 May is not that far off, as the current price is only 14.6% lower.
Since Saturday, however, it has lost 4.5%, so some fear that the upward trend which began in early October may now be over. DOT has gained 19% over the past week, 24% over the past month, and 953% over the past year.
Polkadot (DOT) price predictions:
Predictions for the future are decidedly discordant, as there are those who say it could rise further, and those who say it could fall after the recent increases.
For example, according to Angelo Papale of FX Empire, the price of DOT in the next few days should return to the $37 price ceiling of September.
Papale points out that Polkadot is currently trading at a 335% premium compared to the July lows, and has already come a long way from the late May crash, when it fell to $18. For at least three months thereafter, a head-and-shoulders pattern followed by a horizontal channel breakout has kept the price at a considerable distance from the highs.
Despite some favourable news that could support the price in the short term, the price of DOT could return to the supports of $38.5 and $37.5, should it break down the lower trend line.
But should the bulls then bounce the price off these support lines, it could rally again, first back towards $44 or $45, and then perhaps to new highs above the $50 mark.
Polkadot amidst rallies and collapses
According to Crispus Nyaga of Bankless Times, Polkadot may be on the verge of a major breakout.
The fact is that the current prices are still close to that $49 price on 15 May, and there would be several investors interested in buying, thanks to the upcoming parachain auctions.
In addition, Polkadot founder Gavin Wood said that the network has allocated about 18.9 million DOT for further development, and on the daily chart the price has moved above the 25-day and 50-day exponential moving averages, and especially above the key September resistance level at $38.70. Nyaga concludes that the price of DOT is likely to continue rising as the bulls target the psychological $50 level.
However, according to Cryptopolitan’s Aamir Sheikh, the bears have taken control of the price, aiming for the $40 level. This would indicate a downward trend, with the price falling further.
At this stage, therefore, it seems very difficult to get clear indications on possible future movements in the price of DOT, also due to the fact that the recent volatility makes it difficult to identify a clear trend in the short term.
The post Polkadot’s price amidst rallies and collapses: conflicting predictions appeared first on The Cryptonomist.
