In the last 24 hours, the market has fallen. Bitcoin has dropped by 4.6 percent, while Ethereum has dropped by 3.7 percent. The rest of the market has reacted in a similar manner.
Polkadot Price Action
Polkadot price motion is still constrained by the $20 value zone. For nearly three months, a massive Spike Pattern on the Point and Figure chart has lasted without a single reversal column. The likelihood of a bullish rally is increasing.
If Polkadot manages to break through $20, it will most likely face resistance in the $21 range. Because market signs are placing additional pressure on the bulls to test $17 and $18, the weekly Polkadot price analysis is bearish.
The resistance levels of $20 and $22 are preventing the para chain cryptocurrency from breaking out and testing the January highs of $27 and $28. Polkadot’s price may rise over the weekend to test the $21 level, but it will most certainly fall to at least $17.5 by early next week.
DOT to Make it to the Big Leagues?
Polkadot has the potential to be one of the year’s top crypto assets, according to a well-known analyst.
Coin Bureau’s pseudonymous host Guy informs his YouTube followers that DOT has a strong upside in 2022 in a recent YouTube update.
“DOT could become one of the top cryptos of 2022.”
Traders expected Polkadot to reach a much higher price in 2021, according to Guy, but DOT failed to meet expectations due to a number of factors.
He says despite Polkadot’s updates, announcements, and developments, DOT hasn’t done much in terms of price, and is actually down over 50% since October 2021 and there are several causes for this.
Guy shifts his focus to the DOT’s circulating supply, which he claims is limited enough to be positively influenced by a tiny amount of investor demand.
“The good news is that DOT’s circulating supply hasn’t increased by much… Only about 50 million additional DOT entered circulation since October.”
Guy is bullish about investor demand for DOT in 2022, despite the lack of present price drivers. A tiny bit of demand, according to the analyst, may drive the altcoin price to new all-time highs.
Polkadot’s planned interoperability standard, with any luck, will create enough demand drivers for DOT across its ecosystem to trigger some positive price action.
“If it does, I reckon we could see DOT re-test its previous all-time high of $52 and secure a new one somewhere in the $60 to $70 range.”