Ethereum

Polkadot

<p>Several altcoins have surrendered their recent gains this week amid rising geopolitical tensions, with Polkadot (DOT) facing similar challenges. The latest market correction pulled the altcoin’s price down to $4.04, a drop of over 14% in just three days.</p> 
<p>At times like this, it’s important to take a step back and examine some fundamentals and traders’ sentiment in the face of popular industry analysts’ conclusions.</p> 
<h2 id="polkadot-on-chain">Polkadot On-Chain</h2> 
<p>One of the most important on-chain metrics that track the network’s activity over time is the number of daily active users and new users joining the ecosystem.</p> 
<p>While the number of new accounts on Polkadot has remained relatively the same since May last year, the number of active users has increased by more than 25%.</p> 
<figure id="attachment_364226" aria-describedby="caption-attachment-364226" style="width: 100%" class="wp-caption aligncenter">
 <a href="https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.41.40.png" data-wpel-link="internal"><img class="size-full wp-image-364226" src="https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.41.40.png" alt="" width="1754" height="1004" srcset="https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.41.40.png 1754w, https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.41.40-300x172.png 300w, https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.41.40-1024x586.png 1024w, https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.41.40-768x440.png 768w, https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.41.40-1536x879.png 1536w, https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.41.40-50x29.png 50w" sizes="(max-width: 1754px) 100vw, 1754px"></a>
 <figcaption id="caption-attachment-364226" class="wp-caption-text">
  Source: Subscan
 </figcaption>
</figure> 
<p>The amount of DOT transferred daily has also increased significantly during this period, showing that the network is processing larger transfer volumes.</p> 
<figure id="attachment_364227" aria-describedby="caption-attachment-364227" style="width: 100%" class="wp-caption aligncenter">
 <a href="https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.45.27.png" data-wpel-link="internal"><img class="size-full wp-image-364227" src="https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.45.27.png" alt="" width="1746" height="880" srcset="https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.45.27.png 1746w, https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.45.27-300x151.png 300w, https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.45.27-1024x516.png 1024w, https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.45.27-768x387.png 768w, https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.45.27-1536x774.png 1536w, https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.45.27-50x25.png 50w" sizes="(max-width: 1746px) 100vw, 1746px"></a>
 <figcaption id="caption-attachment-364227" class="wp-caption-text">
  Source: Subscan
 </figcaption>
</figure> 
<h2 id="dot-s-imminent-breakout-are-investors-ready">DOT’s Imminent Breakout – Are Investors Ready?</h2> 
<p>One <a href="https://x.com/CryptoWinkle/status/1841731297095422291" target="_blank" rel="noopener" data-wpel-link="external">analysis</a> indicates that DOT is poised for a significant breakout. The altcoin appears to be approaching the conclusion of its accumulation phase and could potentially be on the verge of breaking out of a long-standing falling wedge pattern.</p> 
<p>According to its findings, recent movements in major large-caps suggest that DOT is poised to follow this trend, making it only a matter of time before it experiences a substantial upward shift. The projected targets for this breakout, indicating key resistance levels, are set at $11.83, $18.41, $26.30, and $37.53.</p> 
<blockquote>
 <p>“With over 600 days below the key zone, Polkadot is gearing up for a major push.”</p> 
 <figure id="attachment_364228" aria-describedby="caption-attachment-364228" style="width: 100%" class="wp-caption aligncenter">
  <a href="https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.48.02.png" data-wpel-link="internal"><img class="size-full wp-image-364228" src="https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.48.02.png" alt="" width="2030" height="1370" srcset="https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.48.02.png 2030w, https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.48.02-300x202.png 300w, https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.48.02-1024x691.png 1024w, https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.48.02-768x518.png 768w, https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.48.02-1536x1037.png 1536w, https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.48.02-50x34.png 50w" sizes="(max-width: 2030px) 100vw, 2030px"></a>
  <figcaption id="caption-attachment-364228" class="wp-caption-text">
   Source: X
  </figcaption>
 </figure>
</blockquote> 
<p>Another market observer,&nbsp;<span style="box-sizing: border-box; margin: 0px; padding: 0px;">Lucky, also highlighted a similar promising outlook for DOT in his latest technical analysis. He&nbsp;<a href="https://x.com/LLuciano_BTC/status/1841028422752960902" target="_blank" rel="noopener" data-wpel-link="external">said</a> that the asset is nearing the end of its yearly accumulation phase,</span>&nbsp;which could propel DOT’s price to “take off” soon.</p> 
<h2 id="an-outrageous-scenario-based-on-historic-similarities">An Outrageous Scenario Based on Historic Similarities</h2> 
<p>According to investment firm TradingShot’s latest <a href="https://x.com/TradingShot/status/1841467158485725233" target="_blank" rel="noopener" data-wpel-link="external">analysis</a>, DOT may be on track for a significant price surge, potentially reaching $200 by the end of 2025. The analysis suggests that Polkadot is following a pattern similar to Ethereum Classic’s (ETC) 2018-2021 cycle.</p> 
<p>As shown on a one-week chart, both assets exhibit nearly identical RSI sequences. Lower highs and double tops lead into a bear market, followed by an RSI bottom that sparks a breakout above the one-week MA50 and the 0.5 Fibonacci retracement level.</p> 
<figure id="attachment_364229" aria-describedby="caption-attachment-364229" style="width: 100%" class="wp-caption aligncenter">
 <a href="https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.48.27.png" data-wpel-link="internal"><img class="size-full wp-image-364229" src="https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.48.27.png" alt="" width="2598" height="1268" srcset="https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.48.27.png 2598w, https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.48.27-300x146.png 300w, https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.48.27-1024x500.png 1024w, https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.48.27-768x375.png 768w, https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.48.27-1536x750.png 1536w, https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.48.27-2048x1000.png 2048w, https://cryptopotato.com/wp-content/uploads/2024/10/Screenshot-2024-10-04-at-7.48.27-50x24.png 50w" sizes="(max-width: 2598px) 100vw, 2598px"></a>
 <figcaption id="caption-attachment-364229" class="wp-caption-text">
  Source: X
 </figcaption>
</figure> 
<p>Currently, Polkadot’s RSI is hovering around 40.00, a key level that marked the start of a parabolic rally in Ethereum Classic. If Polkadot mirrors this cycle, it could aggressively rise toward the 1.5 Fibonacci extension, hitting $200 by late 2025.</p> 
<p>The post <a href="https://cryptopotato.com/polkadot-in-the-charts-what-do-on-chain-data-and-technical-analysis-indicate-for-dots-price/" rel="nofollow">Polkadot in the Charts: What do On-Chain Data and Technical Analysis Indicate for DOT’s Price?</a> appeared first on <a href="https://cryptopotato.com/" rel="nofollow">CryptoPotato</a>.</p>

Polkadot in the Charts: What do On-Chain Data and Technical Analysis Indicate for DOT’s Price?

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