Hi guys! My last post analysis on DOT seemed to start working out till the moment when BTC crashed and dragged the whole market down. That's why I always say no matter the setup on alts, BTC is the boss on this market for now and if it's dumping then everything else is dumping. In this case DOT was not an exception and we saw $27-28 per DOT. Of course the overall sentiment is bullish and I would say that DOT hasn't even started moving yet. I expect explosive gains on this gem in 2021-2022. Locally we see that $26-28 area acted three times as a good support from where we saw big buying activity, long wicks indicate that. The volumes are relatively small comparing to those beginning of the year where we saw the first rally from $5 to $10 and then $17, that means that big bags are still hodling. Knowing the potential of this token and it's ecosystem you don't sell but only buy all the dips. In the short term I expect DOT to move towards the $45-48 resistance area, some consolidation there with a possible retracement towards $40 before blowing the lid off and entering the price discovery mode. In case of opposite scenario, highly unlikely for now, if DOT breaks down the $28-25 support are we could see again prices like $20-18, this would be a gift on this bull market. Regardless that it's unlikely to breakdown this support area, it is not necessary but possible to test the ascending trendline (blue) and bounce from there.
This is my trading idea. I am neither a financial advisor nor I urge you to trade my idea.
Always DoYourOwnResearch prior investing your money anywhere!
Always respect risk management!
Always respect money management!
Always make profits!