Polkadot

Delta

Time

<ul>
 <li><em>Polkadot prices reached $8.58 on 22nd December before slipping lower.</em></li>
 <li><em>This was a new high for 2023 and the market structure supported the idea of another rally.</em></li>
</ul>
<p><a href="https://ambcrypto.com/search/dot" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">Polkadot [DOT]</a> gained 47% in December and has rallied 20% within just the past two days based on the prices at press time. The blockchain also saw a major increase in its <a href="https://ambcrypto.com/polkadot-can-soaring-revenue-impact-dot-price-predictions/" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">revenue</a>, which pointed toward increased usage.</p>
<p>The recent rally past $7.9 meant DOT has registered a new high for 2023. The technical structure showed that further price gains were likely after a minor step backward in the coming days.</p>
<h4><strong>The bearish order block was about to be broken</strong></h4>
<div id="attachment_360102" style="width: 100%" class="wp-caption aligncenter"><a href="https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-DOT-price.png" data-wpel-link="internal" rel="noopener noreferrer nofollow"><img aria-describedby="caption-attachment-360102" decoding="async" class="wp-image-360102 size-full" src="https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-DOT-price.png" alt="DOT sets a new high for 2023, can traders expect more of the same?" width="1940" height="976" srcset="https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-DOT-price.png 1940w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-DOT-price-300x151.png 300w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-DOT-price-1024x515.png 1024w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-DOT-price-768x386.png 768w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-DOT-price-1536x773.png 1536w" sizes="(max-width: 1940px) 100vw, 1940px"></a>
 <p id="caption-attachment-360102" class="wp-caption-text">Source: DOT/USDT on TradingView</p>
</div>
<p>At the time of writing, DOT had closed a one-day trading session above $7.9. In the next few days, a retest of the $7.2-$7.9 region can be expected. After that, the token will likely continue its rally and push toward new highs.</p>
<p>The $7.2-$7.9 area represented a bearish order block on the one-day chart. The chart above was a three-day chart, which highlighted the strong bullish structure of DOT on the higher timeframe chart.</p>
<p>Moreover, it also underlined the next key resistance at $9.65. This level was a high from August 2022.</p>
<p>Whether such a rally would occur this month or in January 2024 is unclear. The OBV has risen higher without pause, and the RSI was at 75 to highlight intense bullish momentum.</p>
<h4><strong>What does the lower timeframe data indicate?</strong></h4>
<div id="attachment_360101" style="width: 100%" class="wp-caption aligncenter"><a href="https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-DOT-hyblock.png" data-wpel-link="internal" rel="noopener noreferrer nofollow"><img aria-describedby="caption-attachment-360101" decoding="async" class="wp-image-360101 size-full" src="https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-DOT-hyblock.png" alt="DOT sets a new high for 2023, can traders expect more of the same?" width="1866" height="1014" srcset="https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-DOT-hyblock.png 1866w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-DOT-hyblock-300x163.png 300w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-DOT-hyblock-1024x556.png 1024w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-DOT-hyblock-768x417.png 768w, https://statics.ambcrypto.com/wp-content/uploads/2023/12/PP-2-DOT-hyblock-1536x835.png 1536w" sizes="(max-width: 1866px) 100vw, 1866px"></a>
 <p id="caption-attachment-360101" class="wp-caption-text">Source: <a href="https://hyblockcapital.com/liquidationlevel" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="external">Hyblock</a></p>
</div>
<p>Prices are inevitably attracted to liquidity. Hence, AMBCrypto analyzed the liquidation levels to understand where DOT could move next.</p>
<p>The Cumulative Liq Levels Delta was still deep in the positive territory even after the drop from $8.5 that commenced in the past 12 hours.</p>
<p style="text-align: center;">Is your portfolio green? Check the <a href="https://ambcrypto.com/calculator/polkadot-profit-calculator" target="_blank" rel="noopener noreferrer nofollow" data-wpel-link="internal">DOT Profit Calculator</a></p>
<p>There were large liquidity pockets to the north as well as the south. Given the positive Delta, bulls are more overleveraged, making hunting their levels a more likely outcome.</p>
<p>From the data above, AMBCrypto noted that there were significant liquidation levels till $6.93. Of note were the $7.81, $7.5, and $7.3 levels where a reversal could also occur.</p>
<p><i>Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.</i></p>

Polkadot price sets a new high for 2023 – Time to alter predictions?

AMBCrypto

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