Polkadot Surges – Is the DOT Price About to Break $5?

The DOT/USD daily chart reveals a near-vertical rally since early July 2025, when the price bottomed around $3.50. The Heikin Ashi candles have painted a clear uptrend, with 10 consecutive green candles—a rare sight that underscores the absence of selling pressure. The breakout above the former resistance at $4.30, now acting as support, aligns with broader altcoin strength and Polkadot’s ecosystem developments, like parachain auctions and interoperability upgrades.

RSI at 76 – Overbought or Just Getting Started?

The Relative Strength Index (RSI) currently sits at 76.90, well above the traditional overbought threshold of 70. While some traders see this as a warning, historical data suggests otherwise. In April 2025, DOT’s RSI hovered above 75 before the price rallied another 12%. Applying this to the current price of $4.516, a similar MOVE could propel DOT past the psychological $5 mark. But caution is warranted—consolidation or a pullback might precede the next leg up.

Fibonacci Levels and Key Resistance Zones

Fibonacci retracement levels add credence to the bullish case:

• $3.95–$4.10 (0.382 zone): Already breached.
• $4.30–$4.50 (0.618/0.786 cluster): Current trading range.
• $4.89 (1.272 extension): Next target.
• $5.35 (1.618 extension): Potential peak if momentum holds.

The $4.89–$5.00 range is a critical hurdle. A clean break could open the path to $5.35.

Chart Patterns Confirm the Bullish Trend

The Heikin Ashi chart’s small wicks and consistent green bars signal strong buying pressure. DOT has also broken its downtrend, forming higher highs and higher lows—a textbook trend reversal. Rising volume hints at institutional interest or whale accumulation. Barring a sudden shift in market sentiment, DOT looks poised to challenge $5.

DOT Price Prediction – Will the Rally Continue?

With the RSI flashing overbought and psychological resistance looming, DOT’s path to $5 isn’t guaranteed but seems probable. Key scenarios:

• Bullish: Break above $5.06, targeting $5.35.
• Neutral: Range-bound between $4.30–$4.60.
• Bearish: A drop below $4.00 could end the rally.

This article does not constitute investment advice.

Should You Buy DOT Now or Wait?

The setup is undeniably strong. The $4.30 breakout and high RSI suggest sustained momentum. For existing holders, trailing stops could lock in gains. New buyers might find a dip to $4.20 an attractive entry—especially if DOT closes above $4.90, which could trigger a run to $5.35.

Where to Trade DOT? Try BTCC!

BTCC offers low fees, a user-friendly interface, and a wide range of tokens, making it a top choice for DOT traders.