Polkadot‘s cryptocurrency DOT saw an approximate 6% increase following 21Shares’ application for a spot Polkadot ETF. The price quickly rose to the $6.5 level, with daily trading volume surpassing $338 million, reflecting a 75% increase. This development is perceived to have generated significant momentum in the market.
Technical Indicator Status
In recent months, notable positive formations have emerged in DOT’s technical chart. Price rebounds have been observed following the formation of a descending triangle pattern between August and November 2023. Fibonacci levels are also indicating potential reversals in the market, with the 0.618 level at $6.772 and the 0.786 level at $5.434.
21Shares has submitted a spot Polkadot ETF filing with the U.S. Securities and Exchange Commission (SEC). The proposed ETF is set to trade on the Cboe BZX Exchange, with Coinbase designated as the custodian to ensure active security. Similarly, ETF applications for other digital assets have also been initiated.
Market Expectations
Market analysts suggest that exceeding the critical resistance level of $7.545 for DOT could indicate a new upward momentum. Based on technical analysis data, this breakout could elevate the price to around $14. Some experts express that DOT could experience a significant increase of approximately 650% due to multiple breakouts.
Market analyst Javon Marks shared his positive expectations regarding Polkadot’s price movements.
Javon Marks: “$DOT is positioned for a significant price increase due to multiple breakouts. The target indicates potential to reach $53.385.”
Current data shows that Polkadot has experienced a 5.7% price increase with a market capitalization of $9.92 billion. Significant increases are also noted in trading volume, open positions, and liquidation figures. Investors are closely monitoring these data to shape their strategies.
The price movements supported by technical formations and the ETF filing seem to have heightened market sentiment. However, if the price tests the critical resistance level and enters a stable upward trend, it is likely to attract more attention from investors.
Market data reflect that investors are assessing risks alongside opportunities in light of technical analysis indicators and regulatory filings. While these developments maintain uncertainties regarding Polkadot’s future price movements, the importance of detailed analyses and market monitoring is amplified.
