- Polkadot price prediction expects a rise to $19.
- Strong resistance lies at the $17 mark.
- Strong support is found at the $16.6 mark.
Despite being a relatively new cryptocurrency, Polkadot has been gaining popularity and is being considered by some investors as a viable alternative cryptocurrency for investment. In the daily timeframe, Polkadot has been very volatile. The 24-hour low for the cryptocurrency was $15,73, while the 24-hour high was $16.36. At the time of writing, DOT stands at $16.26.
The market outlook for Polkadot is bullish. Out of the 24 technical indicators, six stands at the sellers’ position while nine stand at buyers’ potion, and the neutral indications are nine as well. Eight of the oscillators are neutral, while two stand at sell indication and one stands at buy position. Eight of the moving averages are at a buy position, while four are at a sell position with one indication as neutral.
Polkadot price prediction: What to expect?
Analyst Mdceiri has identified a symmetrical triangle in his Polkadot price prediction. The cryptocurrency has had a strong start to the new year, and the analyst suggests that it is just the beginning. The analyst is expecting Polkadot to attain record highs in 2021. Polkadot is consolidating in a triangular formation at the movement. The cryptocurrency’s volume is decreasing but at a healthy pace, which indicates the onset of the breakout from the asymmetrical formation. The Moving Average of 20 (MA20) can be a source of strong support for the cryptocurrency.
MA 20 is also converging at the break-out point – towards the end of the triangle formation. The support of MA 20 is likely to further the bullish momentum of the cryptocurrency. Per the analyst, the Relative Strength Index (RSI) has not been showing any signs of bearish divergence; hence, it can be concluded that the bullish pressure on Polkadot is significant. The analyst is expecting an upward breakout from Polkadot. The price target set by the analyst is $18.89. However, if the Polkadot closes below $15, then the Polkadot price prediction analysis stands invalidated.
A similar triangle formation has been identified by analyst Luis Menjr in his Polkadot price prediction. Although Polkadot is far from a formation break out per the analysis, bullish pressures are evident. The analyst is expecting Polkadot to continue the gradual upward momentum. Technical indicators are also bullish or moving towards bullish momentum. The analyst’s price target for Polkadot lied at $19.43.
Polkadot expanding the network
Realizing the cryptocurrency’s potential, steps are being taken to improve its ecosystem by targeting Polkadot’s scalability as scalability might become a major problem in the near future. A strategic partnership has been formed between Stake Technologies and Moonstake to update and expand the network of Polkadot. Moonstake added Polkadot to its network during the beginning of the year and has also undertaken partnerships to help the Polkadot ecosystem grow in popularity.
There has also been talking of implementing Plasm Network in Moonstake. The scalability solution of the Network will connect Polkadot to other cryptocurrencies. This will also result in increased efficiency and high speed. The partnership is likely to be very beneficial for Polkadot and decentralized finance. It can result in a boost of the cryptocurrency.