• DOT’s price is above $3.75 strong support and within a prolonged consolidation phase.
• Technical indicators like RSI and MACD show neutral momentum.
• Increasing open interest and a growing number of long positions show traders are gearing up for DOT’s next big move.

Polkadot (DOT) is stuck in a tight range near $3.80, as buyers and sellers battle it out. With support and resistance closing in, traders are watching closely for a breakout. DOT is currently trading at $3.82, up 1.09% in the last 24 hours, despite a slight 0.09%dip over the past week.

Technicals Suggest Neutral Momentum

According to Quantum Ascend, DOT is forming a pattern of lower highs and higher lows. Key support continues to hold at $3.75, which lines up with the 0.309 Fibonacci level and a key trendline.

The Relative Strength Index (RSI) on the 4-hour chart is around 53, pointing to neutral price momentum. This suggests the asset isn’t in overbought or oversold territory.The MACD lines are coming closer together, hinting at a potential bullish crossover. Meanwhile, the small histogram bars indicate that buying and selling pressure are fairly even.

Trading volume is holding steady as the market seems to be waiting for a decisive move above $4.20 or below $3.75.

Downtrend Structure on the Daily Chart Remains Intact

DOT’s price has been trapped between $3.25 and $4.00 for months, creating a tight consolidation range. A descending resistance line continues to cap gains, with repeated rejections near $4.00–$4.20.

Support at $3.26 has been tested several times and is holding up.The inability to push past resistance shows that selling pressure is continuing. A close above $4.20 may signal a shift toward $5.50. If support fails, DOT could revisit earlier 2025 lows.

Market Capitalization and Derivatives Reflect Cautious Optimism

From August 29 to September 5, DOT’s market cap moved between $5.80 billion and $6.30 billion. After dropping around September 1–2, it quickly rebounded, hitting above $6.30 billion, before settling above $6.00 billion. Derivatives data shows a 6.81% drop in volume to $316.12 million, but open interest rose 2.30% to $487.07 million. The long/short ratio sits at 0.9183, showing a slight lean toward shorts. Yet, traders on Binance and OKX are heavily long. Long liquidations have outpaced shorts, signaling volatility despite optimistic positions.

Earn more PRC tokens by sharing this post. Copy and paste the URL below and share to friends, when they click and visit Parrot Coin website you earn: https://parrotcoin.net0

PRC Comment Policy

Your comments MUST BE constructive with vivid and clear suggestion relating to the post.

Your comments MUST NOT be less than 5 words.

Do NOT in any way copy/duplicate or transmit another members comment and paste to earn. Members who indulge themselves copying and duplicating comments, their earnings would be wiped out totally as a warning and Account deactivated if the user continue the act.

Parrot Coin does not pay for exclamatory comments Such as hahaha, nice one, wow, congrats, lmao, lol, etc are strictly forbidden and disallowed. Kindly adhere to this rule.

Constructive REPLY to comments is allowed