- On Wednesday, the DOT/USD is trading with a solid bullish bias at $36.55, losing -2.50% so far.
- Polkadot price prediction remains bullish above the $35.65 support level extended by 50 days EMA.
- Forex trading participants may look for a buy trade above the $35.70 level to the target of $38.10 and $38.90.
On Wednesday, the DOT/USD is trading with a solid bullish bias at $36.55, losing -2.50% so far. The day before, the DOT/USD closed at $37.291 after setting a high of $38.740 and a low of $34.107. Polkadot surged and reached its highest level since mid-May on the back of positive developments surrounding the Polkadot ecosystem. The Polkadot price prediction remains bullish above the $35.65 support level, extended by 50 days’ EMA.
The Polkadot blockchain network has been designed to support various interconnected application-specific parallel chains, known as parachains. The scalability-focused project breaks transactions up into many shards and processes themes in parallel, similar to what ETH 2.0 plans to achieve.
Polkadot to set up an important technical update
The network of Polkadot is preparing for an important technical update at the end of 2021, and investors are very excited about that event. The new update will launch business-grade cross-linking projects for the first time, and this has been driving its prices up for the past few days.
The developers have approved the final technical design for the upgrade and have completed the auctions for the first handful of feature-complete Polkadot chains, while the complete launch is scheduled to take place before the end of the year.
On Tuesday, Polkadot prices gained more than 32% since last week, and since mid-August, the prices increased by over 65%. Some recent positive developments surrounding Polkadot’s ecosystem have also supported the upward momentum of its prices.
On September 8, a decentralized data aggregator, SubQuery, raised about $9 million to build Polkadot’s first data aggregation layer. This integration led the Moonbeam parachain to build tokens on Polkadot’s development tool, which can be sent to Ethereum wallets and smart contract addresses.
All these positive developments and the rising demand for networks like Polkadot or “Ethereum Killers” added to the value of their tokens and pushed their prices to a multi-month high.
Polkadot Price Prediction – Technical Levels
Support Resistance
34.686 39.319
32.080 41.346
30.053 43.952
Pivot Point: 36.713
Polkadot Price Prediction – 50 EMA Underpins DOT/USD
Polkadot price prediction remains bullish above the $35.65 support level, extended by 50 days’ EMA. On the 3-hour timeframe, the DOT/USD pair has formed an upward channel that supports the bullish bias in the pair.
The DOT/USD’s immediate support prevails at the 35.74 level, and a bearish breakout below this level can trigger a selling trend until the 32.75 support level.
The DOT/USD pair may find the next resistance at the 38.91 level on the bullish side. Whereas a continuation of an upward trend may extend the buying trend until the 38.90 level. Further on the higher side, the next resistance will prevail around the 42.25 mark.
Most importantly, the 50 day EMA (exponential moving average) provides support at the 35.75 level. The DOT/USD’s Stochastic RSI indicator has entered the oversold zone, suggesting chances of a bullish correction in the pair.
Thus, Forex trading participants may look for a buy trade above the $35.70 level to the target of $38.10 and $38.90. Alternatively, we may see some selling trades below the $35.60 level. All the best.
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