Polkadot Nears Critical $3.75 Support Level – Is This the Dip to Buy?

Polkadot bulls hold their breath as DOT tests a make-or-break level.

Key Support at $3.75: The Price Floor Everyone's Watching

After a 15% retreat from recent highs, Polkadot's native token hovers above what analysts call a 'generational buy zone.' The $3.75 level previously acted as resistance-turned-support during Q2's rally—now it's showtime for the bulls.

Market whispers suggest accumulation by institutional players ('smart money' that somehow still gets rekt). Meanwhile, retail traders pile into leveraged longs—because nothing screams 'calculated risk' like 50x on an asset that moves 10% daily.

Technical Outlook: Bounce or Breakdown?

The RSI flirts with oversold territory at 42, while volume profiles hint at weakening sell pressure. If $3.75 holds, we could see a swift rebound toward $4.20. But lose this level, and sub-$3 becomes inevitable—along with another round of 'DOT is dead' hot takes from crypto Twitter.

Remember: In crypto, 'healthy pullback' either means 'fire sale' or 'the beginning of the end'—depending on whether you're the bagholder or the vulture capitalist.

Key technical points:

• Fibonacci Rejection: DOT was rejected from a key retracement level, triggering the current pullback
• Key Support at $3.75: Former resistance flipped into support; aligns with the value area low
• Upside Potential: Break and hold above local high opens the door for a move to $5 and potentially $7.67

From a technical perspective, this correction is considered both healthy and necessary, especially after the sharp upward MOVE that saw DOT reclaim key levels. Pullbacks of this nature often serve to reset momentum indicators and create new demand zones.

As long as the price holds above the $3.75 region, DOT maintains a bullish structure. A bounce from this level could lead to a higher low formation, a key ingredient in sustaining an uptrend. If confirmed, price may target the local high NEAR $5 and, eventually, the value area high at $7.67, a level that has historically capped upward moves in this trading range.

Despite the current weakness, the overall structure remains intact. DOT’s market structure remains bullish on the higher time frame, and any reclaim of $5 with volume support WOULD strengthen the case for a broader rally. A failure to hold $3.75, however, would place pressure on the structure and open the possibility of a deeper correction.

What to expect in the coming price action:

Watch the $3.75 level closely, if DOT holds and prints a higher low, a continuation toward $5 and possibly $7.67 becomes likely. Momentum and volume confirmation will be key to validating the next leg higher.