DOT - 6h. If buyers keep $32-33 we will see $50

17 Mar 2021

For almost a month, the DOT market has been in the correction phase. After setting a new historical high of $41.92, buyers took the initiative to sellers. In our global idea, we expected the beginning of the correction of this coin with the ultimate goal of $ 17:

The correction has started, but not in the format we expected. All that the sellers were able to achieve during the previous month was a slight correction in the form of a consolidation triangle.

If we analyze the situation in the DOT market in more detail, we see that on February 22-23, sellers quite aggressively checked the strength of buyers. The raging volatility ended on February 28. In the period from February 22 to 28, market participants were looking for a compromise liquidity range, in which a local shopping area is currently formed. This is the range of $32-33.

As you can see in the graph, this range has twice confirmed its strength:

While the range of $32-33 is under buyer control, we will expect a test of the all-time high with a likely continuation of the DOTUSDT price increase to $50.

If we look at this timeframe, we see that the DOT price has gone beyond the global trend line that buyers have held since December 2020:

However, the breakdown of this trend line did not cause panic among investors. A small misconception says that there is still a large number of buyers in the DOTUSD market who expect good prices.

Another positive signal for the DOT market is the DOTBTC pair chart:

As you can see, now the DOTBTC price is testing the previous high. The test takes place at low volumes. This fact proves that at the moment in the DOT market correction and not a pulse wave of decline.

At the moment, the DOT price is in the middle between liquid zones. Therefore it is necessary to wait or the test of $32-33 or breakdown of a historical high and its retest. Good luck with your trade!
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