The crypto market is seeing renewed strength, and Polkadot’s native token DOT has surged more than 6%, breaking key resistance levels amid the wider rally led by Bitcoin.
DOT Breaks Key Resistance Level
Polkadot (DOT) experienced a 6.3% intraday gain, closing at $4.129, which placed the token above the psychological $4.10 resistance level. This technical breakout indicates potential for continued upward momentum.
The breakout occurred between 21:00-22:00 with higher-than-average trading volume, confirming strong bullish sentiment and increased investor participation.
Technical Analysis: Bullish Channel and High-Volume Breakout
DOT formed a consistent ascending channel, with the peak at $4.215 recorded at 01:00 acting as a new short-term resistance.
Key technical highlights:
- Price rallied from $4.014 to $4.126, showing a 5.5% increase within a single session.
- A sharp breakout between 07:21-07:26 saw DOT spike to a local high of $4.138, supported by exceptionally high trading volume (98,733 units).
- Support has been established at $3.987, following heavy buying interest at the 13:00 session low.
- Minor pullbacks were observed, but the token maintained its higher lows, reinforcing the upward trend.
DOT closed above $4.10, a key psychological barrier, suggesting that market participants remain optimistic about further gains.
Market Context: DOT Benefits from Polkadot 2.0 and Ecosystem Growth
The rally in DOT is not isolated. Renewed interest in the Polkadot parachain ecosystem and progress around the Polkadot 2.0 upgrade are fueling investor optimism.
Polkadot 2.0 aims to bring greater scalability, flexibility, and improved governance, making the platform more appealing to developers and investors alike.
This fundamental strength is contributing to DOT’s strong performance, particularly as investors rotate capital into infrastructure and utility-driven projects within the crypto space.
Wider Market Movement: Bitcoin’s Break Above $109K Adds Momentum
The broader crypto market is also seeing significant upside. Bitcoin breaking above the $109,000 mark added further bullish momentum across major altcoins.
At the time of analysis, DOT is trading around $4.285, continuing to show strength even after the initial surge.
Summary
DOT’s breakout above $4.10 and strong technical formation signal sustained bullish interest, backed by Polkadot 2.0 developments and strong market sentiment. As crypto markets heat up, DOT remains a key token to watch in the coming days.