DOT prices were very volatile during last week. On 20th January, it reached the lowest price of $14.75. The price fluctuations continued with major highs and lows of 22nd January when the price reached a low point of $15.0044. However, since then DOT prices are showing an uptrend. The closing price of 24th January 2021 was approximately $17.5957.
However, the above 24 hours candle chart paints a different picture. It is not clearly confirming a bull or a bear for DOT prices. It is currently trading between $19.1 and $17.22 (High and Low prices in the last 24 hours).
The On-Balance-Volume (OBV) is indicating an equilibrium between buying and selling activity. However, a relatively straight OBV line since 24th January is indicating negligible changes in trading volumes in the last 24 hours. The MACD is showing bullish momentum.
Trading Expectations for DOT During This Week
Since the 24-high low of $17.22 has just retraced 9.84% of the 24-hour high of $19.1, we will consider 23.6% Fibonacci retrenchment levels.
Currently, DOT is trading at $18.2546. As of now, it is struggling to breach the resistance level of $18.65. An uptrend can be confirmed only if DOT can go past $19.54 in the next couple of days. However, if it falls to $16.7763, then a downtrend is imminent.
However, as per experts, DOT is all set for a bull-run. Sharp BTC (Bitcoin) price corrections have led to many investors diversifying their crypto investments. Moreover, till ETH 2.0 becomes fully functional, DOT will continue to have a competitive edge.
Moreover, the indicators also suggest that traders are not in a hurry to exit. This further confirms a positive investor sentiment. DOT has emerged as a dark horse to bet on for the past four months.
With no major events around the corner that could significantly impact investor sentiment, we can expect an uptick in DOT prices in the next couple of days.