Polkadot: Traders try to revive DOT – Is $10 enough?

• DOT saw a 63% spike in trading volume, indicating a move towards $10.
• DOT remained below key resistance levels, and mixed market metrics suggested $10 would be challenging.

Polkadot [DOT] has been performing modestly this cycle, unable to make a proper bullish breakout like Ethereum [ETH] and Solana [SOL].

However, its trading volume unexpectedly reached $266,625,875 in the past 24 hours, marking a 63% increase and indicating a sudden surge in market activity. Are traders trying to revive DOT?

DOT to $10?

AMBCrypto’s examination of DOT’s trading chart revealed an upswing in price after a prolonged period of lateral movement. 

This was underlined by a sharp rise in the Relative Strength Index (RSI) from the oversold region (below 30) to a more neutral position at 41.39.

Source: TradingView

This increase aligned with the spike in trading volume, hinting at renewed interest and speculative activity as traders assessed DOT’s potential to break out of its sluggish performance.

Observing the moving averages, DOT has recently breached the 50-period moving average (red line), suggesting short-term bullish sentiment.

However, it traded below the more critical 200-period moving average (blue line) at press time, which could act as resistance in the short term. 

If DOT can sustain its upward trajectory and decisively cross above $7.5, it might validate the possibility of a bull run, hence taking us all the way to the $10 mark.

The other side

Polkadot’s Fear and Greed Index stood at “Neutral” 42% at press time, reflecting a balanced market sentiment.

The social and dominance metrics were positive, suggesting a favorable perception and comparative market strength against other cryptocurrencies.

Source: CFGI

So, while there is a social buzz and a strong market position, the trading activity does not necessarily support a sustained price surge.

Read Polkadot’s [DOT] Price Prediction 2024-25

The $10 target may remain elusive unless there is a significant change in market conditions that can convert the current neutral sentiment into a decisively bullish one.

DOT might join the bull run. But for now, the bulls aren’t as active as they need to be.